It’s that time of year again. TAX TIME! In this article, we’ll help you get your dental practice organised for tax time, and let you in a few tips and tricks you can use to help increase your asset write-offs!
GOVERNMENT TAX INCENTIVES
It’s a busy time of year for everyone, especially if you own your own business. With just over one month to go, businesses across Australia are scrambling to get their EOFY year receipts and finances together in the hopes to get a return from the ATO this year.
At Dental Depot, we want the best for your business’s back pocket! If you weren’t aware, the Australian Taxation Office allows each business the option of instant asset write-off thresholds each year. The Australian Government have recently increased the instant asset write off up to $30,000 for each asset bought from 2 April 2019. This incentive has also been extended to 30 June 2020.
What does this mean for you?
The $30,000 instant asset write-off threshold applies to EACH asset, which means you’re able to claim on EACH item purchased in your 2019 tax return if purchased from 2nd April 2019.
What if I’ve purchased dental equipment before April 2nd, 2019? Well, you’ll still be eligible to write-off up to $25,000 if items were purchased in the year they are first used or installed ready-for-use between 29 January 2019 to before 7:30 pm 2nd April 2019.
And before that? Any depreciable assets purchased before January 29, 2019, you’ll be eligible for the asset write-off threshold of $20,000 for assets bought before this date during the 2018/2019 financial year.
What can be claimed? According to H&R Block the following can be claimed for small business owners:
- Cash registers and other POS devices
- Cars, vans and utes
- Fittings and fixtures for your premises
- Plant and machinery for your trade (dental equipment)
- Computers, laptops and tablets
- Security systems
- Accounting software
Now is the time to start preparing your dental practice for tax time and make the most out of the 30k tax write-off threshold. If your dental practice is in need of new equipment or you’re starting up a new practice, head over to our website and start claiming your tax write-offs.