ANTHONY ALBANESE MP
PRIME MINISTER OF AUSTRALIA

JIM CHALMERS MP
TREASURER

JULIE COLLINS MP
MINISTER FOR SMALL BUSINESS

A re-elected Albanese Labor Government will help more Australian small businesses grow, invest and prosper by extending the $20,000 Instant Asset Write Off for 12 months.

This is about incentivising small businesses to invest in the equipment and kit they need to boost productivity, create more jobs and help them thrive.

Under Labor’s extension, small businesses will continue to be able to deduct the full cost of eligible assets costing less than $20,000 that are first used or installed ready for use by 30 June 2026.

The threshold applies per asset, which means small businesses can claim multiple purchases – from new tools for tradies to computers and tablets, and office equipment to kitchen equipment and coffee machines for cafes.

The extension of the Instant Asset Write Off builds on the substantial and responsible steps we’re taking to support small businesses around the country, including:

1. Delivering additional energy bill relief for around one million small businesses with another $150 in rebates to be rolled out from 1 July.
2. Delivering two new tax cuts for every taxpayer, benefitting 1.5 million sole traders.
3. Working with the states and territories to cut red tape and boost competition through our $900 million National Productivity Fund.
4. Extending Unfair Trading Practices protections to small businesses and strengthening the enforcement of the Franchising Code of Conduct.
5. Supporting the hospitality sector by pausing indexation on draught beer excise and providing tax relief to brewers, distillers and wine producers.

A record 25,000 businesses have been created under the Albanese Labor Government every month on average since we came to office.

The biggest risk to these record numbers would be electing a Peter Dutton-led Coalition government. The Liberals shamefully delayed our extensions to the instant asset write-off this year and last year.

The Liberals will increase income taxes for every Australian taxpayer, including 1.5 million sole traders.

We recognise that small businesses are the engine room of the Australian economy and that’s why they are at the core of our plan to build Australia’s future.

Funding for the extension of the $20,000 Instant Asset Write Off was provided in the 2025-26 Budget.

As at 4 April 2025.