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If you have been contemplating upgrading your IT systems whether it be workstations, server or your means of managing work emails; our brother IT company C2iT can come out to your office and work out whether it is economical for your business to take advantage of this tax benefit. You can accelerate the retirement of old servers and workstations and update to the latest generation of IT computing power, increase productivity and flexibility with where and how you work! 

more, as long as their annual turnover is less than $2 million.

The Assistant Treasurer said small business owners who want to take advantage of the 50% small business

tax break need to purchase assets, or enter into a contract to buy them, on or before 31 December 2009.

"The tax break is an extra tax deduction businesses can claim at the rate of 50% in their tax return for the

year the asset is first used or installed," the Assistant Treasurer said.

For example, if the owners of a small company wanted to spend $2,000 on a new computer, they may be

better off buying it, or entering into a contract to buy it, before the deadline of 31 December. If they start

using it or install it before the end of next year, they may be eligible for the 50% tax deduction.

"Conditions apply, so businesses should talk to their tax agent or visit the Tax Office website to check how it

will benefit them," the Assistant Treasurer said.

Minister Emerson said the Rudd Government announced the tax break in December 2008 to assist small

businesses to deal with the impacts of the global financial crisis.

The Government extended the tax break in the May Budget to allow small businesses to claim a 50% tax

deduction on eligible assets bought by 31 December 2009.

This month's MYOB small business survey revealed that 71 per cent of small businesses have utilised the

tax break or may do so in the future.

"Small businesses are utilising the tax break with gusto, but they need to take advantage of it before it

expires at the end of December," Dr Emerson said.

Eligible assets include new, tangible, depreciating assets such as business vehicles, computers, furniture,

tools and equipment.

Businesses can also combine the cost of certain items designed and intended to be used together to take

them over the $1,000 threshold.

A new information kit about the small business tax break is now available on the Tax Office website at

If you have been contemplating upgrading your IT systems whether it be workstations, server or your means of managing work emails; our brother IT company C2iT can come out to your office and work out whether it is economical for your business to take advantage of this tax benefit. You can accelerate the retirement of old servers and workstations and update to the latest generation of IT computing power, increase productivity and flexibility with where and how you work!