Temporary Full Expensing

The current Temporary Full Expensing incentive is coming to an end on 30 June 2023. So, what is the TFE Government Tax Incentive and why has it been extended? TFE is a bigger and even better version then the current Instant-Tax Write Off. It was originally introduced to assist in supporting business and encouraging investment within Australia, but the incentive will end come on 1 July 2023. 

Business owners are able to claim an immediate deduction for the business portion of the cost of an asset in the year it is first used, for taxable purposes and unlike the instant asset write-off, which has a $150,000 limit, there is no value threshold for the TFE incentive.

How can you qualify? Under the current rules, the eligibility thresholds for immediate deductions for capital assets such as vehicles, have been raised for businesses with an annual turnover of less than $5 billion dollars for new assets or $50 million dollars for used assets. As a result, any qualifying vehicles purchased for your business this financial year could be 100% written off your tax return.

The good news - Mount Gravatt Mazda has over 35 Mazda-BT-50 and 200+ cars and SUV in stock and available to be collected just in time for June 30. If you are considering a purchase of a vehicle for your business this tax year, it is worth noting that the current TFE incentive will end on 1st July 2023. Please note that this information is general and any tax benefit that may be available to you will be subject to your own personal circumstances and evaluation to criteria eligibility. We encourage you to consider whether this information is appropriate to you and your needs and where appropriate to seek professional advice with your accountant. To take advantage of the government's expanded tax advantage speak to one of our friendly sales team today.