Proposed removal of the small business instant asset write-off of $6,500 with effect from 1 January 2014

At the conclusion of the parliamentary sittings for the week ending 13 December 2013, the Minerals Resource Rent Tax Repeal and Other Measures Bill 2013 had not been passed by the Senate.

Among the proposed amendments is the reduction of the small business instant asset write-off threshold to $1,000 (down from $6,500), and the removal of the accelerated depreciation arrangements for motor vehicles.

Both are proposed to apply from 1 January 2014 so to get the benefit of the existing rules, assets purchased must be first used for a taxable purpose or installed ready for use before 1 January 2014.