Take Advantage Of The Budget Measures
Eligible small businesses can access accelerated depreciation for business assets purchased before 30 June 2017.
Small businesses with aggregated annual turnover of less than $2 million can purchase assets up to $20,000 and immediately depreciate them, as part of the Small Business Package measures announced at Budget Night. There is no limit on the number of assets that can be immediately depreciated, but they do need to be purchased between Budget night (7:30pm AEST 12 May 2015) and 30 June 2017.
The expanded accelerated depreciation measure replaces the previous deduction threshold of $1,000.
Assets valued at $20,000 or more (which can't be immediately deducted) can be placed in the small business simplified depreciation pool and depreciated at 15 per cent in the first income year and 30 per cent each income year thereafter. The pool can also be immediately deducted if the balance is less than $20,000 over this period (including existing pools).
Eligible small businesses can access accelerated depreciation for the majority of capital asset types. Only a small number of assets are not eligible (such as horticultural plants and in-house software). In most cases specific depreciation rules apply to these assets.
Classic Funding Group may be able to assist eligible small business to take advantage of this budget initiative, by providing finance solutions to purchase the required assets.
A Secured Loan Agreement (Chattel Mortgage) enables the business to take ownership of the asset from the outset, thus qualifying for immediate depreciation, while enjoying the predictability of affordable monthly repayments.
Contact Classic Funding Group now to obtain a quote or pre-approval - 1300 780 895.