In May of 2015, the Small Business Minister and Assistant Treasurer Kelly O’Dwyer declared a temporary increase in tax breaks offered to small businesses. His rallying cry was aimed directly at smaller businesses and entrepreneurs, and was intended to encourage them to increase their capacity and increase overall competitiveness in our economy.
These breaks are threefold. The first such break allows any business, whose gross is under two million dollars annually and which has been operational and trading for at least 12 months, to deduct entire investments up to $20K from their overall tax burden, with no limit on how many individual investments they can claim. This can be anything from new machinery, new vehicles, computer upgrades, and anything else that can contribute to your capacity and competitiveness (with the exception of stock).
The second such break was geared at the actual financing. The cost of the loan is also deductible. If you have secured an unsecured business loan from UCapital to expand your business, the interest upon your loan can be written off your tax burden as well.
The third was further-reaching: this same pronouncement lowered the overall income tax burden for small businesses from 30% to 28.5%, further encouraging growth, and cementing this government’s commitment to SMEs and overall market competition.
Combined, these three tax deduction opportunities could potentially cover the entire cost of your project. There has truly never been a better time to expand your firm than right now. However, these deductions are not permanent, so it is the sage businessman who makes use of them while they last.
Company : UCapital International
Contact : Jacques Pretorius
Address : Level 26, 44 Market St, Sydney, NSW 2000
Phone : 1300 1234 55
Email : info@ucapital.com.au
Website : https://www.ucapital.com.au