Small Business Tax Concessions - Proposed Changes
If you are a small business wanting to take advantage of the immediate write off of assets acquired for under $6,500, get in before 31 December 2013. Proposed tax legislation is set to repeal the concessions given to small businesses for depreciation over the last few years.
The proposed amendments for small business depreciation include:
- The immediate tax deduction threshold of $6,500 is reduced back to the $1,000 from 1 January 2014
- The low-value pool low balance write off of $6,500 will reduce back the $1,000 from 1 July 2014
- Accelerated depreciation for Motor Vehicles with the immediate write off of $5,000 will be repealed from 1 January 2014
In addition to these small business concessions, the proposed legislation is set to repeal the carry back loss rules from 1 July 2013. Carry back losses will only be allowed in the 2012/2013 financial year.