Don’t Miss Out: $20K Instant Asset Write-Off Still Available for SMEs Before EOFY
SMEs Missing Out on $20K Tax Break – Renown Lending Encourages Businesses to Act Before 30 June
With the end of financial year just around the corner, new research reveals that three out of four small and medium-sized businesses in Australia may be missing a significant tax-saving opportunity – the $20,000 Instant Asset Write-Off (IAWO).
Independent research conducted by Octopus Group on behalf of small business lender OnDeck Australia found that only 26% of SMEs are taking advantage of the IAWO. Alarmingly, 36% admitted they aren’t using it at all, while 38% said they’re unsure whether they qualify.
The IAWO allows businesses with an annual turnover under $10 million to claim an immediate tax deduction for eligible assets costing up to $20,000. These can include vehicles, machinery, tools, office equipment, and even renovations or fit-outs that help boost productivity or customer experience.
Kalpi Prasad, Finance Partner at Renown Lending, believes this tax benefit is too valuable to overlook, especially when paired with tailored business finance solutions.
“This isn’t just a tax write-off—it’s an opportunity to upgrade your business assets, improve productivity, and reduce your taxable income in one move,” Prasad said. “With the deadline of 30 June fast approaching, businesses should be talking to their tax advisers and exploring how they can make strategic purchases before the cut-off.”
Renown Lending specialises in helping SMEs secure fast, flexible funding that can be used to invest in new assets—precisely the sort of purchases that qualify for the IAWO. With loan approvals often finalised within days, the team ensures businesses don’t miss out on time-sensitive financial opportunities.
Kalpi Prasad added, “We’ve seen a spike in business owners using short-term finance to secure essential equipment and fit-outs before EOFY. In many cases, they’re not just reducing their tax—they’re reinvesting in growth, improving staff morale, and attracting more customers.”
The research also revealed that nearly one in five small business owners (18.3%) would use funding to upgrade facilities or equipment, and over 40% said it would provide a buffer for unexpected expenses—something especially important in today’s uncertain economic climate.
The Albanese government has extended the IAWO scheme by 12 months, but to claim it for the current financial year, the asset must be installed and ready for use by 30 June.
For SMEs considering a last-minute strategic purchase, the message is clear: act now.
Renown Lending can assist with:
Short-term loans for asset purchases
Business cashflow solutions
Tailored finance for renovations or equipment upgrades
Fast approvals and access to funds
If you're unsure how to proceed, speak with your accountant and then reach out to Kalpi Prasad and the Renown Lending team to discuss how smart funding can help your business take full advantage of the $20,000 Instant Asset Write-Off before EOFY.
