Business Owners – EOFY Instant Tax Write Write-Off Not Extended

March 31, 2025•3 min read

“EOFY Instant Tax Write-Off for Your Business Project.” - Daren Horwood

ATO warning for small businesses as $20,000 tax break scrapped in federal budget. The boosted $20,000 instant asset write-off scheme was not extended into the 2025-26 as part of this year's federal budget.

As a small business owner, you’re always looking for ways to improve operations while keeping costs in check. With the government’s $20,000 instant asset write-off, there has never been a better time to invest in your business's infrastructure. If you’ve been thinking about upgrading your cabinets or purchasing a new cabinetry project, now is the perfect time to act before the end of the financial year.

In this blog post, we’ll explore seven reasons why you should purchase your cabinet project before the end of the financial year, and how you can maximise tax savings with the $20,000 instant asset write-off.

1. Maximise Tax Deductions

By purchasing your cabinet project before June 30, 2025, your business can immediately deduct the full cost of eligible assets up to $20,000, reducing your taxable income and potentially lowering your overall tax bill. Read More

2. Take Advantage of the $20,000 Instant Asset Write-Off

The government had temporarily increased the asset write-off limit from $1,000 to $20,000 until 30 June 2025.. This is a significant opportunity for small businesses to upgrade their assets without incurring a major tax burden

3. Instant Tax Relief for New Purchases

Small businesses with an aggregated turnover of less than $10 million can instantly write off the cost of cabinets, saving money immediately instead of spreading the depreciation over several years.

4. Eligible Depreciating Assets

Cabinet projects are considered eligible depreciating assets, so businesses can use this tax incentive to claim the full cost of the project as a deduction if the cabinets are first used or installed ready for use by the end of the financial year.

5. Enhanced Cash Flow

By reducing your taxable income, you can free up cash flow that could be reinvested into other business areas, helping to improve operations or fund future growth opportunities.

6. Multiple Assets Can Be Written Off

The $20,000 limit applies on a per asset basis. This means that businesses can purchase multiple cabinet assets or projects and write off each one individually, maximizing their tax savings for the year.

7. Instant Tax Write-off Reduces to $1000 after 30 June 2025

Assets valued at $20,000 or more can continue to be placed into the small business simplified depreciation pool and depreciated at 15% in the first income year and 30% each income year after that. In addition, pool balances under $20,000 at the end of 2024-25 income year can be written off. Read more

Disclaimer: This not financial advice, please refer to your accountant and ATO website for details.

Latest Update

The $20,000 instant asset write-off scheme boost was not extended in this year's federal budget. · Source: Yahoo/Finance SEE FULL ARTICLE

Why Trafalgar Joinery Co?

At Trafalgar Joinery Co, we specialise in high-quality custom plywood cabinets and modular designs that make plywood projects easier and more affordable. Our Cabinet Creator tool allows you to design your own custom cabinets, get instant quotes, and bring your design ideas to life with minimal hassle. Whether you're tackling a commencal reception area, kitchen renovation, upgrading yuor End of Trip staff facilties our plywood cabinets provide the flexibility, durability, and style you need.

Visit us: www.trafalgarjoineryco.com.au
Follow us: @TrafalgarJoineryCo

Join the Plwood Revolution!

👉 Reach us at trafalgarjoineryco.com.au to start your Plywood Project journey today!