Small business instant asset write-off threshold to increase
As part of the 2023–24 Federal Budget, an increase in the small business instant asset write-off threshold was announced to support small businesses. A bill proposing to enact this measure has now been introduced in the Parliament.
With the temporary full expensing (TFE) incentive available to small and medium businesses with a turnover of less than $5 billion, ending on 30 June 2023, this measure was announced to relieve small businesses from high inflation and other market volatility pressures.
Small business skills and training boost
A bonus tax deduction of 20% is available for external training costs for staff. It is available for expenses you have incurred between 29 March 2022 and 30 June 2024. However, any bonus deductions for expenses incurred before 30 June 2022 may be delayed by a year in being refunded to your business.
Salary packaging an electric vehicle under the new FBT exemption
The federal government is providing an exemption to car benefits fringe benefits tax (FBT) for electric vehicles. This exemption will allow employees to salary package an electric vehicle from their employer to obtain a substantial tax benefit. This legislation intends to improve the viability of purchasing a new electric vehicle.