Instant Asset Write-Off: $20,000 Tax Break for Vet Clinics

Been putting off an equipment upgrade? This one's for you.

The Australian Government has extended the $20,000 instant asset write-off through to 30 June 2026. If your clinic turns over less than $10 million a year, this applies to you.

Here's what you need to know.

What is an instant asset write-off?

Normally, when a business buys a piece of equipment, the tax deduction is spread across several years — a little bit at a time, known as depreciation.

The instant asset write-off flips that. Instead of spreading the deduction, you claim the full purchase cost in the same financial year you buy and install the asset. One purchase, one deduction, one tax return.

The key facts

Who's eligible: Small businesses with an aggregated annual turnover of less than $10 million

The limit: Assets purchased for less than $20,000 (GST-exclusive)

The window: Assets must be first used or installed ready for use between 1 July 2025 and 30 June 2026

It's per asset: You can claim multiple assets — each under $20,000 — in the same year

What about equipment over $20,000?

Assets at or above the $20,000 threshold can still be placed into the small business depreciation pool and written off at 15% in the first year, then 30% each year after.

Also worth knowing: if your pool balance falls below $20,000 at the end of the 2025–26 income year, you can write off the entire remaining balance in one go.

What does this mean for your clinic?

Portable ultrasound units, transducers, accessories and other diagnostic imaging equipment regularly fall under — or close to — the $20,000 mark.

If you've been sitting on the fence about upgrading your imaging capability, this is a genuine financial incentive to act before 30 June 2026. You get better diagnostics in your hands now, and a real deduction come tax time.

A quick example

Say you purchase a portable ultrasound unit for $19,500 (GST-exclusive) and install it before 30 June 2026. Under the instant asset write-off, you deduct the full $19,500 from your taxable income this financial year — rather than claiming a fraction of it over several years.

Ready to explore your options?

We can walk you through the ultrasound solutions that suit your clinic's caseload and budget. Whether you're upgrading, starting fresh, or just want honest advice — we're here to help.

Get in touch with the BCF team directly.

Sources

Australian Taxation Office — Small Business Support: $20,000 Instant Asset Write-Off (last updated 5 December 2025)

Australian Taxation Office — Assets and Exclusions: Simpler Depreciation for Small Business (last updated 4 September 2025)

Australian Government Budget announcement — Extension of the $20,000 Instant Asset Write-Off, 4 April 2025

This article is for general information only. Tax rules can be specific to your circumstances — always check with your accountant or registered tax adviser before making purchasing decisions based on tax eligibility.