Now which small biz doesn't need a boost every now and then?! Well, parliament has finally passed the Small Business Technology Investment and Skills and Training Boosts - Woohoo 🙌 (and by finally we mean way too late as no-one really had the opportunity to take advantage of the tech investment boost before it was legislated)
but hey let's not look a gift horse in the mouth 😉
This means that from 29 March 2022 to 30 June 2023 if you are a small biz with aggregated turnover of <$50 million you will be able to claim an additional 20% tax deduction to support your digital operations and digitise your operations AND from 29 March 2022 to 30 June 2024 you will be able to claim an additional 20% tax deduction for external training courses delivered to employees by registered training providers.
TECH INVESTMENT BOOST - WHAT YOU CAN CLAIM
✔️digital enabling items - computer and telecommunications hardware and equipment, software, internet costs, systems and services that form and facilitate the use of computer networks
✔️digital media and marketing – audio and visual content that can be created, accessed, stored or viewed on digital devices, including web page design
✔️e-commerce – goods or services supporting digitally ordered or platform-enabled online transactions, portable payment devices, digital inventory management, subscriptions to cloud-based services, and advice on digital operations or digitising operations, such as advice about digital tools to support business continuity and growth
✔️cyber security – cyber security systems, backup management and monitoring services
TECH INVESTMENT BOOST - WHAT YOU CAN'T CLAIM
❌salary and wages
❌capital works costs
❌financing costs
❌training or education costs (refer skills and training boost below)
❌expenses that form part of your trading stock (ah nuts)
TECH INVESTMENT BOOST - WHEN, HOW MUCH & HOW TO CLAIM
You can receive a maximum bonus deduction of $20,000 per income year. They will be claimed in your biz income tax returns. The 2022 claims will be taken up in the 2023 year. Don't worry, we have you covered on this one and will make sure your biz doesn't miss out when we prepare your work.
You can find out more info here
SKILLS & TRAINING BOOST - WHAT YOU CAN CLAIM
✔️training to employees of your business, either in-person in Australia, or online
✔️incidental costs related to the provision of training, provided they are charged by the registered training provider, such as the cost of books or equipment needed for the course.
PS. It needs to charged, directly or indirectly, by a registered external training provider that is not you or an associate of yours.
So go forth and get your employees trained up in some sweet skills like these ...
SKILLS & TRAINING BOOST - WHAT YOU CAN'T CLAIM
❌training of non-employee business owners such as sole traders, partners in a partnership or independent contractors (yes, we know 😢)
❌costs added on an invoice by an intermediary on top of the cost of training, such as commissions or fees, as they are not charged directly or indirectly by the registered training provider.
SKILLS & TRAINING BOOST - WHEN, HOW MUCH AND HOW TO CLAIM
No maximum has been prescribed so go your hardest, woohoo! It will be claimed in your biz income tax returns. The 2022 claims will be taken up in the 2023 year, with the 2023 and 2024 years claimed in their respective years.
You can find out more info here
So go and get boosting our small biz friends😊Still have questions? That's OK, feel free to make contact with one of our oh so cool not nerdy at all team members today.
Disclaimer: The information provided is general in nature and does not take into account your personal situation. You should consider whether the information is appropriate to your needs, and where appropriate, seek professional advice