The ATO introduced two measures to support small businesses, the Small Business Technology Investment Boost and the Small Business Skills and Training Boost.
Small business skills and training boost
Small businesses (with an aggregated annual turnover of less than $50 million) will be able to deduct an additional 20% of expenditure that is incurred for the provision of eligible external training courses to their employees by registered providers in Australia. Businesses may continue to deduct expenditure that is ineligible for the bonus deduction in accordance with the existing tax law. . This measure is applicable for expenditure incurred from 7:30 pm AEDT 29 March 2022 until 30 June 2024. (Reference:
ATO article)
Small business technology investment boost.
Small businesses (with an aggregated annual turnover of less than $50 million) can deduct an additional 20% of the expenditure incurred for the purposes of business digital operations or digitising its operations on business expenses and depreciating assets such as portable payment devices, cyber security systems or subscriptions to cloud based services.
An annual $100,000 cap on expenditure will apply to each qualifying income year. Businesses can continue to deduct expenditure over $100,000 under existing law. This measure is applicable for expenditure incurred from 7:30 pm AEDT 29 March 2022 until 30 June 2023 (Reference: ATO article)
For further details and guidance on how and when to claim these boosts, you can visit the specific ATO webpage
Reconciliation tab
