Would 30% tax deduction come in handy?

If you're shopping around for practice equipment or are in the market for a new car for business purposes, now's a great time to buy.

"Take advantage of the low price tag on most motor vehicles, enjoy low interest rates and if your practice turn over is less than $2 million, look forward to the possibility of claiming the new 30% government investment allowae, on purchases of $1000 or more," advises Tim Geddes of Medfin Finance. The investment allowance is an additional tax deduction that allows you to take 30% off the cost of a qualifying asset. To qualify for this tax break you will need to purchase your equipment or business vehicle between 12 December 2008 and 30 June 2009. The equipment must be installed and ready for use by June 2010. If you meet the above criteria, you can laim your usual depreciation in your tax return, plus claim a further 30% investment allowance deduction. If you are interested in taking advantage of the new, temporary government investment allowance, speak to your accountant, visit the Federal Government Infrastructure web site at www.infrastructure.gov.au.