Budget Boosts

Apr 5, 2022

Technology Investment Boost

The Government’s Technology Investment Boost reduces the cost of going digital, supporting businesses to invest more in their digital capability. This measure will provide tax relief of $1 billion.

More than 3.6 million small businesses with an annual turnover of less than $50 million will be able to claim a bonus 20 per cent deduction for the cost of expenses and depreciating assets, up to $100,000 of expenditure per year.

Eligible expenditure includes items such as portable payment devices, cyber security systems and subscriptions to cloud-based services.

The boost will apply to expenditure incurred from 7:30pm (AEDT) on 29 March 2022 (Budget night) until 30 June 2023.

For eligible businesses that spend $1,000 on the cost of going digital, the tax deduction available is $1,200.  The tax saving to a company on a tax rate of 30% is $640.  The overall cashflow to the company is $640 ($1,000 for the cost of going digital, less $360 less tax to pay or $640).

So, it’s well worth looking in to.

Skills and Training Boost

The Government’s Skills and Training Boost encourages small businesses to train new staff and upskill existing staff, helping them to be innovative and grow. This measure will provide tax relief of $550 million.

Small businesses will be able to claim a bonus 20 per cent deduction for the cost of external training courses delivered to employees in Australia or online, by providers registered in Australia.

This boost will apply to eligible expenditure incurred from Budget night until 30 June 2024.

For eligible businesses that spend $1,000 on the cost of training, the tax deduction available is $1,200.  The tax saving to a company on a tax rate of 30% is $640.  The overall cashflow to the company is $640 ($1,000 for the cost of training, less $360 less tax to pay or $640).

Beyond Blue Mental Health Support for Entrepreneurs and Small Business Owners

NewAccess for Small Business Owners is a free and confidential mental health coaching program, developed by Beyond Blue to give small business owners, including sole traders the support they need. 

Over six sessions, coaches with a small business background will work with you to overcome difficult issues, providing you with practical skills to manage stress and get you back to feeling like yourself. Find out more information here.