Boost Your Business with 120% Deduction for Skills Training & Technology Costs
Contents
Introduction
Discover the latest government initiative for businesses – the Deduction for Skills Training & Technology Costs, designed to offer exciting benefits to eligible businesses. The Morrison Government announced this program in the 2022 budget, and it is now in effect. Learn how your business can leverage this opportunity to enhance digital adoption and empower employees through training.
Technology Investment Boost
Unlock the power of digital transformation with the Technology Investment Boost. This remarkable initiative allows businesses to enjoy a generous 120% tax deduction for qualifying expenses related to digital adoption. From portable payment devices to cybersecurity systems and cloud-based services subscriptions, your business can deduct up to $100,000 per year, with a maximum deduction of $20,000. It’s important to note that the bonus deduction is utilized to offset against assessable income, potentially increasing tax benefits for your company. The actual cash value of this deduction depends on your business’s taxable profit or loss and the applicable tax rate.
Skills and Training Boost
Invest in your workforce with the Skills and Training Boost. This innovative program provides a remarkable 120% tax deduction for external training courses offered to your employees. Empower your staff to grow and develop their skills while enjoying tax benefits for your business. Please note that sole traders and independent contractors are not eligible for this incentive. To qualify, the external training courses must be provided in Australia or online and delivered by registered training organizations within the country. The training expenses must be necessarily incurred in the course of conducting your business to gain or produce income.
Claiming the Deduction
Remember, the additional deduction relating to the 2021/22 financial year can be claimed in your 2023 tax returns. Don’t miss out on this valuable opportunity to optimize your business’s training initiatives and embrace digital transformation.
Conclusion
Take advantage of the Deduction for Skills Training & Technology Costs to propel your business forward. Benefit from the Technology Investment Boost by investing in digital adoption, and empower your workforce with the Skills and Training Boost. Stay ahead of the competition and maximize tax deductions to fuel growth and success. Don’t wait – start leveraging this initiative today and set your business on the path to greater prosperity. chat with us if you have any questions.
WL Advisory is a Chartered Accounting firm. We specialise in accounting, tax and advisory services for individuals and small businesses. Please visit our website for more information.