Tax and Structures

4. From the 2018-19 income year, the Medicare levy low-income thresholds will increase:

• from $21,980 to $22,398 for singles
• from $37,089 to $37,794 for families*
• from $34,758 to $35,418 for single seniors and pensioners
• from $48,385 to $49,304 for family seniors and pensioners

*For each dependent child or student, the threshold increases by a further $3,471 (previously $3,406).

The proposal has been legislated.

5. From 7:30 PM (AEDT) on 2 April 2019, the instant asset write-off threshold will increase from $25,000 to $30,000 and apply until 30 June 2020. Also, medium-sized businesses (with an aggregated annual turnover of $10 million or more, but less than $50 million) will now also have access to the instant asset write-off. The proposal has been legislated.

To help stimulate the economy, the instant asset write-off threshold amount for each asset was increased to $150,000 (up from $30,000) from 12 March 2020 until 30 June 2020 for businesses with an aggregated turnover of less than $500 million (up from $50 million). The $150,000 instant asset write-off threshold amount has since been extended for a further six months to 31 December 2020.