With rising electricity prices and increasing environmental concerns, switching to renewable energy is no longer just a conscious decision but a smart economic one.
More businesses now have the opportunity to take advantage of the instant asset write-off, thanks to the recent extension of the threshold.
The recent expansion of the instant write-off scheme allows more businesses to be eligible for the programme.
The extension enables companies to claim a tax deduction on the cost of solar installations, provided the cost is under the threshold through to the 30 June 2020 cut-off.
The scheme was recently broadened again to include companies with less than $50 million in annual revenue.
Previously, it applied to companies with less than $10 million in annual revenue.
The instant tax write-off level has also increased from $25,000 to $30,000.
In addition to the instant asset write-off, more support is available for businesses looking to install solar panels through Small-Scale Technology Certificates, or STCs.
STCs can be used to recoup some of the cost when installing solar systems.
Businesses may also benefit from feed-in tariffs, or FiTs.
FiTs are payments you receive from your electricity retailer for feeding excess solar electricity back into the grid.
The dramatic reduction in costs for commercial solar, combined with rising electricity prices, is encouraging more Australian businesses to look into solar panels.
Commercial solar battery installation costs have also fallen, with further reductions predicted over the coming year.
According to the Clean Energy Australia Report 2019, there has been a 45% increase in commercial solar installations.
With the instant asset write-off, extra incentives for businesses through STCs and FiTs, and the falling costs of commercial solar, there’s no better time to shift to renewable energy sources.
For more information on commercial solar installations and how to get the best return for your investment, contact us today on 1300 948 619 or via email.
