Depreciation deductions

Depreciation and capital allowances tool

Work out the deduction you can claim from a depreciating asset for capital allowances and capital works purposes.

Depreciation and capital expenses and allowances

Capital allowance measures contain the rules for calculating the decline in value of depreciating assets.

Effective life of an asset

To use either of the depreciation methods, you have to work out how long the asset can be used to produce income - its effective life.

General depreciation rules - capital allowances

To depreciate most of your assets you apply the general depreciation rules (unless you're eligible to use simplified depreciation for small business).

Simpler depreciation for small business

Simplified depreciation rules including instant asset write-off for small businesses with an aggregated turnover of less than $10 million from 1 July 2016.