Instant Asset Write-Off For Commercial Solar
Businesses Can Write-Off Solar Instantly
Businesses who are looking to reduce or wipe-out their energy bill and make the switch to solar power are being given a fantastic incentive by the government. From the 12th of March 2020, businesses purchasing an asset of up to $150,000 can immediately write off 100% of the asset. This is an increase of $120K on the previous threshold, which is great news for businesses! Going solar is a smart use of the $150,000 Instant Asset Write-off, but you’ll need to get in quick as the government has only made this available until 30th of June 2020.
The Financial Benefits
With the ability to write-off the solar system instantly you could reach a return on your investment in as little as 2 years and continue savings of up to $12,000 per year for the rest of the system lifetime. Leaving you with a potential 10 year savings of more than $120,000.
Company A purchases a new 30kW solar system from Energy Partners. They instantly write-off the entire system using the governments $150,000 instant asset write-off. Company A receives a GST Refund ($3,000), Tax Depreciation($8,250) resulting in a return on investment of 1.8 years. They can enjoy the ongoing secured energy savings of up to $12,000 per year for the system lifetime. Company A can also relax knowing that they have a 12 year warranty on their inverter as well as 25 year warranty on panel performance.