Small business skills and training boost
The Treasury Laws Amendment (2022 Measures No. 4) Act 2023 provides for a temporary skills and training boost for small businesses in the form of a bonus deduction. Small businesses (with an aggregated annual turnover of less than $50 million) can claim the bonus deduction as an additional 20% deduction, on top of their ordinary deduction, for eligible expenditure incurred by them for the provision of external training courses to employees by certain registered training providers.
It applies to eligible expenditure incurred from 7:30 pm (AEDT) on 29 March 2022 until 30 June 2024. Special rules provide for the income year in which the bonus deduction can be claimed.
Small business technology investment boost
The Treasury Laws Amendment (2022 Measures No. 4) Act 2023 provides for a temporary technology investment boost for small businesses in the form of a bonus deduction. Small businesses (with an aggregated annual turnover of less than $50 million) are able to claim the bonus deduction as an additional 20% deduction, on top of their ordinary deduction, for eligible business expenditure incurred for the purposes of their digital operations or digitising their operations. This includes expenditure on a depreciating asset provided the asset was first used or installed ready for use by 30 June 2023. The maximum additional deduction is $20,000 per income year.
It applies to eligible expenditure of up to $100,000 per income year incurred from 7:30 pm (AEDT) on 29 March 2022 until 30 June 2023. Special rules apply if claiming the bonus deduction for eligible expenditure on a depreciating asset.
Eligibility for downsizer contributions
The age an eligible individual can make a downsizer contribution to their superannuation has changed.
If your client has reached the eligible age, they (each individual) may be able to contribute up to $300,000 from the proceeds of the sale (or part sale) of their home into their superannuation fund.
To make a downsizer contribution; the eligible age is as follows:
- From 1 January 2023, 55 years old or older
- From 1 July 2022, 60 years old or older
- From 1 July 2018, 65 years old or older.
For the full eligibility criteria and other details, see Downsizer contributions for individuals.
Key changes and new measures affecting your clients' self-managed super funds' (SMSFs') 2023 tax returns.