Federal tax incentive may benefit clients looking to invest in Automation
The Australian Government has extended assistance to businesses investing in depreciable assets under the ATO’s Temporary full expensing provision. This means that eligible companies may be able to accelerate depreciation of their investment in automation.
Depending on business turnover, companies may be eligible for temporary full expensing of the business portion of eligible depreciating assets subject to the following:
- Aggregated turnover of less than $5 billion
- Must hold the asset and be first used or installed ready for use sometime within the period of 7 October 2020 to 30 June 2022
- Also, for business with an aggregated turnover of less than $50 million can temporarily expense the full business portion of eligible second hand depreciating assets under the same conditions
- Improvements to eligible depreciating assets held prior to October 7 2020 can be fully expensed where the improvements are carried out and the costs are incurred sometime in the period 7 October 2020 to 30 June 2022
Further details on the scheme extension can be found here.
Note this is general information and not intended as advice. Please consult your tax specialist.
Robotic Automation are a leading supplier of turnkey solutions using core technologies and the exclusive distributor of Motoman Yaskawa Robots, MAX Automatic Guided Vehicles (AGV’s) and dedicated packaging equipment. Contact us for information on how we can work with you.