Your Safety Upgrade Could Cost the Taxman Not You

The federal government’s $20,000 instant asset write-off is active until 30 June 2026. If your business turns over less than $10 million a year and you’ve been putting off a safety upgrade, now is a genuinely good time to act.

WHS compliance isn’t optional. But the timing of how you invest in it can make a real difference to your tax position. That’s what this write-off is about.

Instead of depreciating the cost of an asset over several years, eligible small businesses can deduct the full purchase price in the same financial year. For a $15,000 barrier installation, that’s a $15,000 deduction this financial year, not spread across five or six.

What the write-off covers

The instant asset write-off lets eligible businesses claim an immediate tax deduction for the business portion of any qualifying asset that costs less than $20,000 (excluding GST) and is purchased and installed ready for use before 30 June 2026.

A few things worth knowing:

• The $20,000 limit applies per asset, not per invoice. If you buy multiple items, each one qualifies separately provided it’s under the threshold.
• Both new and second-hand assets are eligible.
• The asset must be first used or installed ready for use between 1 July 2025 and 30 June 2026.
• Your business needs aggregated turnover of less than $10 million to be eligible.
• From 1 July 2026, the threshold drops back to $1,000, so this window matters.

How this applies to safety barriers and infrastructure

Most individual Verge products sit comfortably under the $20,000 threshold. A set of HD safety barriers, a V-Gate, a run of ECO-Rail handrail, a batch of bollards protecting a loading dock – each of these is a discrete asset with its own purchase price.

That matters because the write-off applies on a per-asset basis. You’re not limited to a single $20,000 claim. If you install safety bollards, a pedestrian gate and a rack protection system in the same financial year, each purchase is assessed individually.

Safety infrastructure is exactly the kind of capital expenditure this measure was designed for. It’s a business asset. It’s used for a taxable purpose. It has a defined cost. It ticks the boxes.

What to do before 30 June

If you’ve been planning a safety upgrade and the budget has been the hold-up, it’s worth running the numbers with your accountant before the end of the financial year.

The key requirements are straightforward:

• Your business turnover is under $10 million.
• The asset costs less than $20,000 excluding GST.
• It’s purchased and installed ready for use before 30 June 2026.

Note that “installed ready for use” is the trigger, not just the invoice date. If you order in June but installation happens in July, it won’t qualify for this financial year. Plan accordingly.

Talk to us about your safety upgrade

We can help you work out what your facility needs and give you a clear quote to take to your accountant before the end of financial year. Whether it’s a single gate or a full barrier installation, we’ll get you the information you need to make the call.

Request a quote at vergesafetybarriers.com.au/request-a-quote or call 1800 765 539.

Always confirm your eligibility with a registered tax professional before purchasing. Tax rules change and individual circumstances vary.