PIAA: secure instant asset write-off

The PIAA is welcoming the federal government’s decision to extend the instant asset write-down for another twelve months, but is calling on the government to make the scheme permanent.

The policy allowing immediate deductions from equipment purchases less than $20,000 was first introduced in the 2015/16 budget, for businesses with an annual turnover under $10m.

The industry body is also lobbying for the government to lift the turnover threshold to allow more businesses to access the scheme, along with bringing forward tax cuts for SMEs that have already been passed.

Andrew Macaulay, CEO, PIAA, says, “It is particularly positive that the bill got such broad support in both the House and the Senate. Small business is the backbone of the country and accelerated depreciation is an extremely important measure in helping business to invest and grow.

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“This is why more action is needed. We call on the Government to end the annual uncertainty associated with renewing the write-down and to do the right thing to support business by making it permanent.

“Print and packaging businesses need certainty and policies that will support their ability to grow, hire and invest.

“To that end we also call on the Government to lift the current threshold of $10m turnover so that more businesses can access the write-off, index the $20,000 write-down amount to adjust for inflation. We also ask it brings forward tax cuts for small, medium-sized and family businesses which have already been passed by Parliament.

“It is critical that Government policy helps our sector to grow and prosper, so Australians can have the jobs, living standards and opportunities to which they aspire.

“Many PIAA members have used the instant asset write-down over the past few years to purchase machinery and other plant equipment. It is a great cost-saver for print and packaging businesses.”