March 12, 2020
In the biggest case of the century, the ATO have taken on COVID-19 in a battle to protect Australia’s economy. It’s affecting small businesses in many different ways as well as people’s ability to spend.
In response, the government has announced an economic stimulus package of $17.6 billion with a purpose to support investments and maintain jobs.
Key tax measures include:
- Small business instant-asset write off increased from $30,000 to $150,000 effective 12 March 2020, available until 30 June 2020
- Accelerated depreciation for small businesses being able to claim an immediate deduction for 50% of an asset’s cost on installation
- Tax-free payments of up to $25,000 for eligible small and medium businesses based on their PAYG withholding obligations
- Tax-free payments of $750 to eligible concession card holders (mostly pensioners)
- Administration relief for some tax obligations for people affected by the Coronavirus – measured on a case-by-case basis
- Wage subsidies to support the retention of apprentices and trainees for employers with less than 20 full-time employees – up to $21,000 per apprentice/trainee available
In these challenging times it is important that you seek advice if needed and should you have queries about the new tax measures and its impact on you, we can be reached here.
