Page 27 - Packaging News Magazine May-June 2020

May-June 2020 | www.packagingnews.com.au
| BUSINESS 27
and cars. But, it is expected to cost the taxpayer $2.5bn over the next two years.
As at the time of writing, the cave- ats are that the $150,000 scheme will end on 30 June this year, although the 50 per cent depreciation scheme runs until 30 June next year. And by those cut-offs, the equipment has to be installed and running, not just on order. But that should be no prob- lem; suppliers are not short of stock.
WHAT IS AVAILABLE?
The good news for packaging busi- nesses is that there is a host of pro- duction equipment that comes in at less than $150,000. A selection of available solutions can be found on the following pages.
*Please check your eligibility with your accountant, PKN Packaging News is not providing tax advice.
Q&A: $150,000 SCHEME
■ WHO QUALIFIES? Any business with turnover less than $500m.
■ WHEN DOES IT RUN FROM? 12 March this year.
■ WHEN DOES IT RUN TO? 30 June this year.
■ IS THAT WHEN KIT HAS TO BE ORDERED BY OR INSTALLED? Installed.
■ HOW DO I CLAIM? On your tax return as normal.
■ IS IT JUST FOR ONE ASSET? No, multiple assets for multiple $150,000s can be claimed for.
■ WHO PAYS? It will cost the taxpayer $2.5bn.
■ WHAT QUALIFIES? Almost anything a packaging company needs.
■ IS IT ONLY FOR NEW KIT? No,
it can be used for pre-owned equipment.
■ WHAT HAPPENS IF I MISS THE
30 JUNE DEADLINE? The instant write-down will then be
50 per cent.
■ WHAT IF THE KIT I WANT IS MORE THAN $150,000? The instant
write-down will then be 50 per cent.