instant asset write off 2023

The Instant Asset Write-Off (IAWO) scheme in Australia for 2023 allows eligible businesses to immediately deduct the cost of assets up to a certain threshold, rather than depreciating them over time. For the 2022-2023 financial year, this threshold was set at $20,000 per asset, but it’s always wise to check the latest updates from the Australian Taxation Office as these limits can change.

This scheme is a godsend for small to medium enterprises looking to reduce their taxable income quickly by investing in equipment, vehicles, or technology. Remember, the asset must be used or installed ready for use in the same financial year to qualify.

For the nitty-gritty, the official ATO website and tax professionals are your best mates, but this is the gist of it.