The ATO has released details of two boosts for small businesses investing in technology and skills, ahead of the end of the financial year.
The Small business technology investment boost allows eligible small businesses to claim an additional 20% tax deduction to support the uptake of digital technology, helping businesses grow by investing in their digital operations.
It’s important to note an entity can claim the boost for expenditure on a depreciating asset only if the asset is first used, or installed ready for use, by 30 June 2023
The Small business skills and training boost allows eligible small businesses an additional 20% tax deduction to train new and existing employees. Small businesses can claim the deduction for external training courses delivered to employees either in person in Australia or online, by providers registered in Australia.
The boost applies to eligible expenditures incurred from 7:30 pm AEDT on 29 March 2022 until 30 June 2024.
This boost aims to help businesses build a better-trained and more productive workforce.
The skills and training rebate is a further incentive to upskill staff with qualifications, especially in line with the current funding available for eligible participants.
The South Australian Business Chamber has the following eligible qualifications through the partnership with the Institute of Training & Further Education (“iTFE”).
To find out more about the options available, please reach out to our training manager Cindy Jackway by emailing cindyj@business-sa.com
Both boosts are available to small businesses with an aggregated annual turnover of less than $50 million. When they claim the bonus deduction depends on whether the business is a normal, early, or late balancer.
For more information about what and when to claim, and how to correctly claim the bonus deductions in your tax return, visit https://www.ato.gov.au/Technologyboost or https://www.ato.gov.au/Skillstrainingboost
