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Instant asset write-off calculator

Check whether an asset purchase qualifies for an immediate deduction, and estimate the tax saved.

$20,000 threshold is law for FY2025-26. Permanent extension beyond that is proposed but not yet passed (Tax Reform No. 2 Bill) — this calculator shows both scenarios.

Financial year
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Business structure
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If the $20,000 threshold is made permanent (Tax Reform No. 2 Bill 2026)

$12,000

Immediate deduction — saves $3,600 in tax.

If the Bill doesn't pass — reverts to $1,000 (Division 328 default)

$0

Not eligible — routed to standard depreciation.

  1. 1

    Checked the turnover cap

    Passed — aggregated turnover of $1,000,000 is under the $10m instant asset write-off cap.

  2. 2

    Applied business-use percentage

    80% business use of a $15,000 asset is $12,000.

    $12,000.00

  3. 3

    $20,000 threshold is not yet law beyond FY2025-26

    The 2026-27 Budget proposed making the $20,000 threshold permanent, but that's in the separate Tax Reform No. 2 Bill 2026, which has NOT passed Parliament as of this build. If it doesn't pass, the threshold reverts to $1,000 from 1 July 2026 under the long-standing Division 328 default. Both outcomes are shown below since this is genuinely undetermined.

  4. 4

    If the $20,000 threshold is made permanent (Tax Reform No. 2 Bill 2026): eligible

    Asset cost $15,000 is under the $20,000 threshold — $12,000 claimed immediately, saving $3,600 in tax at a 30% rate.

    $3,600.00

  5. 5

    If the Bill doesn't pass — reverts to $1,000 (Division 328 default): not eligible

    Asset cost $15,000 is at or above the $1,000 threshold — routed to standard depreciation instead.

    $0.00

Assumptions

  • $20,000 threshold is law for FY2025-26. Permanent extension beyond that is proposed but not yet passed (Tax Reform No. 2 Bill) — this calculator shows both scenarios for FY2026-27 onward.
  • The company tax rate is inferred from the turnover-only base rate entity test (aggregated turnover under $50m); the '≤80% passive income' condition is not modelled.
  • Assumes the asset is not excluded from the write-off (e.g. some assets like buildings, horticultural plants, and certain leased assets have separate rules not modelled here).