Small business can now write off assets under $20,000
July 9th, 2015
An eligible small business can claim an immediate deduction for any software costing less than $20,000, purchased off the shelf,that is used exclusively in the business. An eligible small business can also claim an immediate deduction for the cost of developing software for use exclusively in its business, where that cost is less than $20,000. An exception applies if the entity has previously chosen to claim deductions for in-house software under the software development pool rules. In this case the costs need to continue to be allocated to that pool.