The mining tax legislation as originally passed contained associated income tax measures, one of which was increasing the instant asset write-off (ie the outright deduction for low value assets) for small business entities (ie generally, those with aggregated turnover of less than $2m) to $6,500. However, the Government’s Minerals Resource Rent Tax Repeal and Other Measures Bill 2013 to abolish the mining tax also proposed to abolish this small business measure and scale the write-off back to id=”mce_marker”,000 with effect from 1 January 2014. The defeat in the Senate on 25 March 2014 of that Bill, means the proposed amendment to cut the $6,500 write-off back to id=”mce_marker”,000 has not been passed. The current $6,500 write-off therefore still stands despite the Government’s intention that it be scaled back to id=”mce_marker”,000 from 1 January 2014.

[WTB 20, 13/5/14]