The end of the calendar year is quickly approaching now, and with it, the end of the 50% investment allowance for small businesses. For those who meet the criteria, and are looking at buying new assets in the near future anyway, it may be worth giving a little thought to taking advantage of this one and bringing forward any planned acquisitions.
Assets, bye the way, can also include artwork.
The tax office have issued a guide on what they would like to see before such a purchase is considered eligible. Interested? This is what you need to know…
- The artworks are not purchased with the view of resale for profit in the foreseeable future;
- The artworks are new pieces created by either recognised international artists, or professional Australian artists operating with an ABN;
- The artworks are publicly on display in the business premises (ie, not restricted in viewing to the owner); and,
- The artworks are tangible in nature, and not digital items.
Of course, both your business and the intended art purchase still need to meet the usual criteria to be eligible for the allowance. If you’d like to know more about how your business can benefit from the opportunity, just shout.