The Coalition Government has announced that the Senate has passed legislation to extend the $20,000 instant asset write-off for small and medium business for another 12 months to 30 June 2019.
Around 3.3 million small businesses across Australia with an annual turnover of less than $10 million would be eligible to access the write-off, including most financial planning businesses.
As a result of the successful passage of this legislation, these businesses would now have additional opportunities to reinvest in their business and replace or upgrade their assets, Federal Treasurer Josh Frydenberg said in a statement.
The initiative would cut the company tax rate for businesses with an annual turnover less of than $50 million from 30 per cent to 25 per cent, with businesses already benefiting from a 27.5 per cent rate, Frydenberg said.
It also would abolish $5.9 billion worth of red tape and introduce a simplified business activity statement, he said.