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Instant asset write-off, unlocking tax benefits

May 30, 2024

As the end of the financial year approaches, it’s the perfect time for hospitality businesses to maximise their tax benefits. The instant asset write-off allows small businesses to immediately deduct the cost of eligible assets. 

What is the Instant Asset Write-Off?

The instant asset write-off is a tax incentive designed to help small businesses reduce their taxable income by allowing immediate deductions on the purchase of new assets. For the 2023-2024 financial year, businesses with an aggregated turnover of less than $10 million can instantly write off assets costing up to $20,000 each. 


To be eligible the business must have operated during the 2023/2024 financial year to access the instant asset write-off threshold of $20,000 the following conditions must be met;

  • It must have an aggregated turnover less than $10mil
  • The entity must choose the simplified depreciation rules for the 2023/2024 financial year
  • Each asset must cost less than $20,000
  • The asset must be first used or installed and ready for use between 1 July 2023 and 30 June 2024.

Eligible Items for Hospitality Businesses

The instant asset write-off scheme is only available for depreciating assets such as;

  1. POS Hardware some text
    • Tablets and Bump Screens: Streamline your order management and improve customer service.
    • EFTPOS Terminals: Enhance transaction efficiency and accuracy.
    • Self-Service Kiosks: Reduce wait times and increase operational efficiency.
  2. Other Essential Equipment:some text
    • Kitchen Appliances: To boost your kitchen's productivity, invest in new microwaves, ovens, coffee machines, and fridges.
    • Technology: Upgrade your computers, laptops, printers, and other tech tools crucial for smooth operations.
    • Furniture: Refresh your dining area with new chairs, tables, and sofas to enhance customer comfort.

Boost efficiency and save money—Shop Now for Instant Asset Write-Off Eligible Items

How does it work?

Let’s take The Cozy Café as our example, a bustling local favourite, that plans to upgrade its equipment to enhance efficiency and customer satisfaction. Here’s how Bella’s Café can utilise the Instant Asset Write-Off:

Asset Purchases:

  1. EFTPOS Terminals and Kichen Display Screens and Customer Facing Devices  - $5,500
  2. Kiosk- $6,999
  3. New Coffee Machine - $12,000
  4. Refrigerator - $8,000
  5. New Tables and Chairs - $9,000

Total: $47,000

Tax Benefit:

  • The Cozy Café can immediately deduct the $41,491 in the financial year 2023-2024, significantly reducing its taxable income and improving cash flow.

Whether you want to enhance your kitchen, upgrade your technology, or refresh your dining area, the write-off can provide immediate financial relief. Abacus POS offers a range of high-quality hardware that fits perfectly within this tax incentive, helping you streamline operations and improve customer satisfaction.

Maximise your tax benefits today—Chat with us about eligible assets.