Of all of the stimulus incentives released by the government to help small businesses through the COVID crisis, the 150K instant asset write off seems to be the one that has flown under the radar.
In many respects this isn’t surprising. With continued high levels of uncertainty in many areas of the economy the prospect of investing $150K in a piece of kit goes against the natural tendency to sit tight and ride it out.
If though, you have had a half decent year with some rain helping to get you off to a good start, the $150k instant asset write off has the potential to be of great benefit.
This is a once in a generation tax incentive for those in a position to take advantage of it. The tricky thing for many small businesses is having the cash on hand to take advantage of it.
Many small businesses don’t have $150K lying around to spend at this time of the year. And it is clear from the many conversations I have had recently that getting asset finance or business loans approved right now is tough. And more importantly (now that we are in June) time consuming.
Own the goods immediately and qualify for the 150K instant asset write-off
DelayPay is custom built for this situation. When you use DelayPay you own the goods immediately, this means you can put it on the balance sheet straight away. So you can buy a tractor today, get it delivered before June 30, take the asset write off and then pay for it 6 months later.
DelayPay is also fast, you can be approved for a purchase within 24 hours, have your supplier paid 2 days later and be ready to bring it home. So, even with just under a month to go you still have plenty of time to take advantage of the $150K writeoff.
As with any tax incentive, you need to make sure you qualify for the 150K instant asset write-off and the best person to tell you this is your accountant. Before you go out and buy something, pick up the phone, call your accountant and check.
If you want to know more about how DelayPay can help you, give me (Kelsey) a call on 0409117730 or Dwain on 0427011900.