With the new instant asset write-off, you may be able to claim a tax deduction of up to $150,000 when eligible business equipment or vehicles (up to the value of $150,000) are first used or installed ready for use between 12 March 2020 to 31 December 2020.
The amount has increased from the previous threshold of $30,000. It's available for businesses with an aggregated turnover of less than $500 million (previously $50 million).
You can buy more than one vehicle or piece of equipment, as long as each individual asset is less than $150,000. You may only claim the portion of the asset that you use for business, not personal, use. The tax office calls this the “taxable purpose portion” of the asset. It's important to understand that while you may only claim the taxable purpose portion as a deduction, the entire cost of the asset must be less than the $150,000. Not every purchase will qualify, so you'll need to seek your own independent taxation advice before buying.