![Small Business Minister and Assistant Treasurer Kelly O'Dwyer is "delighted" with the take-up of the instant asset write-off.](/web/20151216190100im_/http://www.theage.com.au/content/dam/images/g/l/j/n/4/r/image.related.articleLeadwide.620x349.gln95u.png/1450136415735.jpg)
Small Business Minister and Assistant Treasurer Kelly O'Dwyer is "delighted" with the take-up of the instant asset write-off. Photo: Ben Rushton
Small businesses have moved quickly to claim against the $20,000 instant asset write-off, Treasury figures released on Monday show.
Treasury data shows more than 99,000 small businesses have claimed the tax break in the period from July 1 to December 15, 2015, with claims totalling $418 million.
It has actually surprised me some of the things that people have invested in and the impact it has had on their business.
Kelly O'Dwyer
At the same time last year, just under 78,000 small businesses had claimed a total of $250 million against the instant asset write-off.
The average claim this year is $4213 compared with $3211 last year, reflecting the increased limit passed in the May budget.
Treasury says there are about 56,000 new claimants.
"What the figures demonstrate is that small business are making significant investments in their business and in growing their business and, in so doing, it is a huge vote of confidence for the national economy," she says.
"The message I have for small businesses which are thinking of whether to make an investment in their business is that you have until July 30, 2017 to make a claim and there is no limit to the number of items that you can invest in so long as they are eligible assets."
O'Dwyer says fears small businesses will "rort" the tax break do not appear to have eventuated.
"I am very confident that the Australian Tax Office is ensuring it is being used in the way it was intended," she says.
"It has actually surprised me some of the things that people have invested in and the impact it has had on their business."
O'Dwyer cites the example of one accounting business which has invested in a printing system that it has claimed against the instant asset write-off.
"With the incentive in place, they have brought forward that investment and it has meant they can print overnight and get access to their customers so much sooner and I've been told for that particular business how transformative that has been for them," she says.
However, O'Dwyer says small businesses should not expect further assistance in Tuesday's mid-year economic and fiscal outlook statement.
"The budget is the budget," she says. "It's not a mini budget."
Council of Small Business Australia chief executive Peter Strong says Treasury's figures show small businesses have taken up the instant asset write-off.
"Given a lot of small businesses don't do their tax until the end of financial year, I think that is a fine figure," he says.
19 comments so far
More comments
New user? Sign up
Make a comment
You are logged in as [Logout]
All information entered below may be published.
Thank you
Your comment has been submitted for approval.
Comments are moderated and are generally published if they are on-topic and not abusive.