Small Business $20,000 immediate write-off

 

Small businesses $20,000 immediate write-off has been extended to 30 June 2018 for businesses with an aggregate annual turnover less than $10 million. (in the 2017 year the $2 million of 2016 year has increased to $10 million)

So small businesses can immediately deduct purchases of eligible assets costing less than $20,000.

So if you have capital items to buy and you are wanting to increase your deductions for your small business, now is the time to buy before 30 June 2017,  knowing you can also have this benefit next year.

Small Business Income Tax Offset

In the 2016 tax year a 5% tax discount was given to individuals with an unincorporated small business entity, up to a maximum cap of $1,000.

In the 2017 year the 5% tax discount has increased to 8%, up to a maximum cap of $1,000

Superannuation Concessional Contributions cap

As from 1 July 17 the Superannuation Concessional Contributions Cap has been reduced to $25,000 for all individuals, regardless of their age (in the past individuals aged 50 or more had a $35,000 annual concessional contributions cap and it was $30,000 for anyone under 49).

Be mindful when salary sacrificing, not to go over this limit with your sacrificing and your employer contribution or Division 293 will come into effect….. and that’s a whole other tax conversation.