Uncertainity over the instant asset write-off threshold for 2023-24 (June 2024 Tax Update)

Relevant For:

Small and medium business owners and bookkeepers.

Key Points:

• The instant asset write-off threshold for 2023-24 remains uncertain due to parliamentary disagreements.
• The current threshold is $1,000 despite an announced increase to $20,000 in last year's Budget.
• A bill proposing a $20,000 threshold for businesses with turnover less than $10 million is still pending.
• The Senate proposed a $30,000 threshold and broader eligibility, which was blocked by the House of Representatives.
• Final decision expected by 24 June 2024, but timing leaves SMEs with little benefit.
• Potential retrospective legislation post-30 June 2024, but no guarantee.

Full Article:

There is so much confusion and uncertainty about the instant asset write-off (IAWO) threshold for the 2023-24 year. In last year’s Budget, the Treasurer announced an increase in the threshold to $20,000.

However,