Reminder: $20,000 Instant Asset Write-Off for 2025 Income Year
If you've purchased or are planning to purchase business assets this financial year, keep in mind that the instant asset write-off threshold is $20,000 for the 2025 income year.

Businesses with an aggregated annual turnover of less than $10 million that use the simplified depreciation rules may be eligible to claim an immediate deduction for eligible assets. Key points to note:
- Eligibility Window: The asset must be first used or installed ready for use for a taxable purpose between 1 July 2024 and 30 June 2025.
- Cost Threshold: The full cost of each eligible depreciating asset must be under $20,000 (excluding GST if registered).
- Asset Type: Both new and second-hand assets may qualify, though some exclusions apply.
- Improvements Included: If you've previously claimed an immediate deduction for an asset, you can also claim a deduction for improvements made between 1 July 2024 and 30 June 2025, provided each improvement costs less than $20,000.
- Per-Asset Basis: The $20,000 cap applies to each asset individually, meaning multiple eligible assets can be written off instantly.
Remember, general deduction rules still apply: you can only claim the business-use portion of the cost, and you must keep appropriate records to support your claim.
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Please also note that many of the comments in this publication are general in nature and anyone intending to apply the information to practical circumstances should seek professional advice to independently verify their interpretation and the information’s applicability to their particular circumstances. Should you have any further questions, please get in touch with us for assistance with your SMSF, business, bookkeeping and tax requirements. All rights reserved. Brought to you by RGA Business and Tax Accountants. Liability Limited by a scheme approved under Professional Standards Legislation.
