Technology Investment Boost and Skills and Training Boost for Small Businesses
Technology Investment Boost and Skills and Training Boost for small businesses (with an aggregated annual turnover of less than $50 million) was first announced last year on 29 March 2022 as part of the 2022-23 budget and is subject to the law. A 20% additional deduction for every expense incurred related to the digitisation of your business equipment, depreciating assets, and subscriptions to cloud-based software, cyber security, and other computerised systems to improve business operations. As well as the 20% additional deduction to expenses incurred on external skills and training provided for your employees to improve their skills to be more proficient in their job.
The Skills and Training Boost to be eligible should be done by external registered providers meaning not by the business itself who is claiming the bonus and provided either in person with employees that are located in Australia or online if otherwise. It can also include any related costs such as books and equipment. An annual cap of $100,000 on expenditure will apply to each qualifying income year.
The Technology Investment Boost will be applicable to expenditures incurred in the period commencing from 7:30 pm AEDT 29 March 2022 until 30 June 2023 while the Skills and Training Boost will be until 30 June 2024.
More information on this will be provided by the ATO once this measure is passed into law.
Please come and visit us for more of this at our new office located at 1A St Georges Cres, Faulcon bridge, NSW 2776, or call us at tel. no. 0403 050 779.
Yan (Jenny) Qi CA
Founder of Progress CA Pty Ltd
Tel. no. 0403 050 779