May 31, 2016

Are You Pushing the $20,000 Tax Incentive for Your Clients?

IT Providers can boost their earnings before June 30 by reminding clients about the small business depreciation and tax incentive.

It's almost tax time - Where some see inconvenience, others see opportunity. If you're an IT provider, this time of year can be absolutely critical to getting much-needed infrastructure in place, and the managed service agreements locked in for the next 12 to 36 months. In the normal day to day rush, important details like this are easy for sales people and business leaders to overlook.

The small business tax incentive allows companies to instantly depreciate, in full, any asset purchase up to $20,000, with a few exceptions.

All types of computing hardware are included in the depreciation schedule - You could be selling storage, a small server, networking equipment, whatever the client needs, as long as each asset comes in under the $20,000 mark.

Off the back of the hardware sale, you should be signing deals to manage and maintain the infrastructure - Including managed backups. More revenue for your business, more work for your staff, more happy customers to sing your praises.

 

For more information on the small business tax incentive please refer to the ATO.

Accelerated Depreciation

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