The Government is consulting on exposure draft legislation to introduce a Technology Investment Boost to help small businesses operate digitally.
The Technology Investment Boost will support digital adoption by small businesses (with aggregated annual turnover less than $50 million) by providing a bonus 20 per cent tax deduction for eligible expenditure incurred on expenses and depreciating assets that support digital operations.
The boost will apply from 7:30 pm (AEDT) on 29 March 2022 until 30 June 2023. An annual cap will apply so that expenditure up to $100,000 will be eligible for the boost, with the bonus deduction capped at $20,000 per year.
The Government is seeking stakeholders’ views on the exposure draft legislation and accompanying explanatory materials implementing this measure.