As we approach the end of the 2024–25 financial year, it’s important for business owners to be aware of a significant change impacting the way art purchases can be claimed at tax time.
The 2025 Federal Budget has confirmed the conclusion of the Instant Asset Write-Off scheme for eligible small businesses, meaning the opportunity to claim artwork purchases (up to $20,000) as an immediate tax deduction will officially end on 30 June 2025.
Introduced in 2015, this initiative has allowed small businesses with an annual turnover under $10 million to instantly deduct the full cost of eligible assets, including artwork. To take advantage of this benefit, all purchases must be completed and installed by the 30 June 2025 deadline.
How does it work?
Under the current scheme, eligible businesses can deduct the cost of qualifying artworks - up to $20,000 per asset - from their taxable income in the year of purchase, rather than depreciating it over time. This can offer a meaningful incentive for those investing in original artwork for office, showroom or business spaces.
What should I do next?
Explore our curated online stockroom with access to over 2,000 artworks at your fingertips, or in person across our five locations in NSW, QLD and VIC.
View online stockroom: https://www.studiogallerymelbourne.com.au/collections/original-artwork
Read more via ATO: https://www.ato.gov.au/about-ato/new-legislation/in-detail/businesses/small-business-support-20000-dollar-instant-asset-write-off
Please see link for eligibility and always seek advice from your tax professional
