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  • 10. Small business entity simplified depreciation

    Attention

    Warning:

    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

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    Only complete this item if the company is a small business entity using the simplified depreciation rules.

    In this section:

    Small business concessions: simpler depreciation rules

    From 7:30pm on 12 May 2015 until 30 June 2020 the instant asset write-off threshold for small business entities changed.

    From 7.30pm (AEST) on 12 May 2015
    until 28 January 2019

    Small business entities can immediately deduct the business portion of most depreciating assets costing less than $20,000 each (the instant asset write-off threshold).

    From 29 January 2019 until before
    7.30pm (AEDT) 2 April 2019

    Small business entities can immediately deduct the business portion of most depreciating assets costing less than $25,000 each (the instant asset write-off threshold).

    From 7.30pm (AEDT) on
    2 April 2019 until 11 March 2020

    Small business entities can immediately deduct the business portion of most depreciating assets costing less than $30,000 each (the instant asset write-off threshold).

    From 12 March 2020 until 30 June 2020

    Small business entities can immediately deduct the business portion of most depreciating assets costing less than $150,000 each (the instant asset write-off threshold).

    To complete this item use the amounts the company calculated for small business entity depreciation deductions at X Depreciation expenses item 6. For more information, see Small business entities.

    A – Deduction for certain assets (costing less than the relevant instant asset write-off threshold)

    Write at A the total amount the company claimed at item 6 relating to assets costing less than the relevant instant asset write-off threshold for which an immediate deduction is available.

    B – Deduction for general small business pool

    Write at B the total amount the company claimed at item 6 relating to the general small business pool.

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    Last modified: 09 Dec 2020QC 62685