June is the most important month in the Australian business finance calendar. And my experience tells me that most business owners leave it too late. The $20,000 instant asset write-off ends 30 June 2026, which means that assets must be installed and operational (not just ordered) by that date. EOFY asset finance through VOXFIN can preserve your working capital, reduce your tax bill, and set your business up for FY2027 – all in one move. Want to know how? Contact us today to get started!
Every June, I Watch So Many Australian Business Owners Miss the Same Deadline.
In over a decade of experience placing asset and business finance, I’m used to seeing this same pattern every financial year – business owners know they need to upgrade equipment, replace a vehicle, or fund growth. Still, they spend eleven months putting it off. Then comes that time of the year. As soon as June arrives, the accountant calls and suddenly, everyone wants the finance approved and assets installed by 30 June!
There’s a significant difference between acting early and acting in the last week of June. Rushed applications, lender backlogs, delivery delays, and assets that miss the cutoff. Look at this article as your advance notice. You still get a week of runway, and that’s enough if you move now.
The $20,000 Instant Asset Write-Off: What It Is and Why 30 June Is a Hard Deadline?
Per-asset threshold · turnover under $10M · must be installed ready for use (not just ordered)
The $20,000 instant asset write-off (IAWO) allows eligible small businesses to claim the full cost of qualifying assets as an immediate tax deduction in the year of purchase, rather than depreciating them over time. For a business buying a $15,000 piece of equipment, that’s a $15,000 deduction in the 2025-26 return, not $750 per year for twenty years.
Here’s what you need to know before 30 June.
- Threshold
$20,000 per asset, excluding GST – applies to each asset, so multiple purchases can all qualify
- Eligibility
Businesses with an aggregated annual turnover under $10 million using simplified depreciation rules
- The hard deadline
The asset must be first used or installed ready for use by 30 June 2026; it must not be ordered, paid for, or in transit. Installed and operational
- Assets over $20,000
Cannot be immediately written off, but can be placed into the small business depreciation pool at 15% in year one, 30% each year after
- New and second-hand assets
Both qualify, subject to ATO eligibility criteria
Beware of the trap most businesses fall into
If you order equipment on 26 June with a 10-day delivery window, it puts your installation on 5 July, i.e., FY2027 – not FY2026. This means you lose the deduction entirely. If you are ordering equipment, vehicles, or machinery, make sure you order this week, so you get enough time for delivery and installation
What this means for your business
A business buying three qualifying assets at $18,000 each writes off $54,000 in one financial year. At a 25% tax rate, that’s $13,500 cash back in the tax return – funded through asset finance that preserves working capital entirely.
Why Finance Your Assets Instead of Paying Cash? The Numbers Tell the Story.
EOFY isn’t just about tax deductions; it’s about preserving the cash your business needs to operate.
“We have the cash. Why would we borrow”? We often get to hear this, and our answer is always the same – “Because the cash in your account is working harder than the interest you’d pay on an asset loan”. It’s as simple as that.
Asset finance, whether it’s a chattel mortgage, finance lease, or commercial hire purchase, allows you to acquire income-generating equipment now, using the asset itself as security, while keeping working capital intact for wages, stock, and operations. The interest on a business asset loan is also tax-deductible, adding a further layer of efficiency.
The EOFY dynamic makes this even more compelling. Finance an asset before 30 June, claim the write-off or depreciation on the full asset value in this financial year itself, and pay for it in manageable repayments across FY2027.
The 3 Main Asset Finance Structures
| Structure | Best For | Key EOFY Benefit |
| Chattel Mortgage | Business vehicles, machinery, yellow goods | Own the asset from day one – full depreciation + GST claim on next BAS |
| Finance Lease | Businesses wanting off-balance-sheet treatment or end-of-lease options | Lease payments tax-deductible as business expenses |
| Commercial Hire Purchase | Equipment where ownership at end of term is preferred | Interest and depreciation both deductible – structured across the repayment term |
What does this mean for your business?
The right structure depends on your business’s GST registration, balance sheet preferences, and whether you want to own the asset at the end of the term. VOXFIN identifies the most tax-efficient structure for your specific situation before you sign anything.
So What Can You Finance Before 30 June? Virtually Every Business Asset.
From utes and forklifts to coffee machines and laptops, if it’s used for a taxable business purpose, it most likely qualifies.
One of the most common misconceptions is that the instant asset write-off only applies to ‘big ticket’ equipment. The fact is that it applies to any eligible depreciating asset used for business purposes, including those as modest as an office laptop or a café espresso machine.
Here’s a cross-industry picture of what VOXFIN has been regularly financing in June.
| Industry | Common EOFY Asset Finance Examples | Finance Type |
| Trades & Construction | Utes, trailers, power tools, scaffolding, compressors | Chattel Mortgage |
| Medical & Dental | Diagnostic equipment, chairs, imaging devices | Finance Lease / Chattel |
| Hospitality | Commercial ovens, refrigeration, POS systems | Finance Lease |
| Agriculture | Tractors, irrigation, harvesters, quad bikes | Chattel Mortgage |
| Professional Services | Laptops, servers, office fitout, vehicles | Hire Purchase / Lease |
| Transport & Logistics | Trucks, forklifts, pallet systems, GPS units | Chattel Mortgage |
| Retail | EFTPOS equipment, shelving, security systems | Finance Lease |
Business Finance Beyond Equipment: EOFY Is Also a Working Capital Moment
Overdrafts, invoice finance, and working capital loans – EOFY is a cash flow pressure point for most SMEs.
EOFY is not just an asset and equipment finance story. For many Australian businesses, June is the month where cash flow gets tight – tax obligations come due, supplier invoices stack up, and the push to finalise the year creates pressure on working capital.
Business finance solutions VOXFIN arranges in June include
- Working capital loans
Short-term unsecured business loans to cover the EOFY cash gap
- Invoice finance and debtor finance
Unlock cash tied up in outstanding invoices without waiting 30-90 days
- Business overdraft facilities
Flexible credit line for June tax payments, supplier invoices, and seasonal cash flow
- Low-doc business loans
For self-employed operators or businesses without up-to-date financials ready
What does this mean for your business?
You don’t need to wait for your annual accounts to access business finance. VOXFIN works with lenders who assess real-time cash flow and business bank statements, not just two years of financial history.
Business Finance for EOFY Cash Flow
VOXFIN arranges working capital loans, invoice finance, and business overdraft facilities – fast approvals for June cash flow needs. Low doc options available for ABN holders.
One More Reason to Act Now: The Budget’s $20,000 Permanent Write-Off Is Not Yet Law
The 2026-27 Budget announced a permanent $20,000 threshold, but until it is legislated, 30 June 2026 remains the confirmed deadline
As part of the 2026-27 Federal Budget on 12 May, the government announced it would permanently increase the instant asset write-off threshold to $20,000 from 1 July 2026. This is good news, but that measure is not yet legislated.
If you wait for that legislation, you are gambling on parliamentary timing. The confirmed, legislated, ATO-confirmed deadline is 30 June 2026. The asset must be operational in your business by that date to qualify in this year’s return. Every week you wait in June is a week less for delivery, installation, and setup.
What does this mean for your business?
Don’t bet next year’s tax deduction on a Budget measure that isn’t yet law. Secure the confirmed $20,000 write-off in FY2026 – it’s available right now.
The Window Is Still Open. The Deadline Is Fixed. Move Now.
In 10+ years of placing asset and business finance, I’ve seen every reason businesses delay and the ones who act in the first week of June consistently get better outcomes than those who scramble in the last. Lenders are faster, suppliers have more lead time, and approvals land before the queue builds.
VOXFIN pre-qualifies your asset finance in 24 hours. We identify the most tax-efficient structure, match you to the right lender, and ensure your assets are financed and on track to be installed before 30 June.
Get EOFY Asset Finance Pre-Qualified in 24 Hours
Contact VOXFIN’s specialist business finance brokers for EOFY applications. Don’t leave it to the last week!
We’re available in Melbourne, Brisbane and nationally.
Frequently Asked Questions About EOFY Asset Finance & Business Finance Australia 2026
What is the instant asset write-off threshold for 2025-26, and when does it expire?
The instant asset write-off (IAWO) threshold for the 2025-26 financial year is $20,000 per asset, excluding GST, for eligible small businesses with an aggregated turnover under $10 million. The threshold applies per individual asset, meaning multiple qualifying assets can each be immediately written off in the same financial year. The confirmed deadline is 30 June 2026 – assets must be first used or installed ready for use by that date. The 2026-27 Federal Budget announced a permanent $20,000 threshold from 1 July 2026, but that measure is not yet legislated as of June 2026. The confirmed, legally operative deadline is 30 June 2026.
Can I claim the instant asset write-off if I finance the asset instead of paying cash?
Yes, the instant asset write-off applies regardless of how the asset is paid for. Whether you purchase outright or finance through a chattel mortgage, hire purchase, or finance lease, the same write-off eligibility applies. The ATO assesses whether the asset is owned and in use for business purposes by 30 June – not whether it was paid for in cash. In fact, financing through a chattel mortgage can deliver a double tax benefit: the instant write-off on the asset value in year one, plus the interest on the loan deductible across the repayment term. VOXFIN structures asset finance to maximise both benefits.
What is the difference between a chattel mortgage and a finance lease for EOFY purposes?
Under a chattel mortgage, your business owns the asset from the settlement date, which means you can claim depreciation (including the instant asset write-off if eligible), the full GST on purchase in your next BAS, and the interest component as a tax deduction. Under a finance lease, the lender retains ownership during the lease term and your business claims lease payments as tax-deductible operating expenses, but cannot claim the instant asset write-off or upfront GST. The right structure depends on your business’s GST position, balance sheet preferences, and whether full ownership from day one matters. VOXFIN advises on the right structure before you apply.
Does the asset have to be brand new to qualify for the instant asset write-off?
No, the instant asset write-off applies to both new and second-hand assets, as long as they meet the ATO’s eligibility criteria. The asset must be a depreciating asset used for a taxable business purpose, must cost less than $20,000 excluding GST per item, and must be first used or installed ready for use between 1 July 2025 and 30 June 2026. This means purchasing quality second-hand equipment – vehicles, machinery, tools, technology – can be an effective and more affordable way to maximise the write-off across multiple assets before EOFY. VOXFIN finances both new and second-hand business assets.
I need business finance for EOFY cash flow, not equipment. What options does VOXFIN have?
VOXFIN arranges several business finance products for EOFY cash flow needs beyond equipment: unsecured working capital loans for short-term operating expenses, invoice finance and debtor finance to unlock cash tied up in outstanding receivables, business overdraft facilities for flexible access to credit, and low doc business loans for self-employed operators or businesses whose financials are not finalised. Many EOFY business finance applications can be approved using bank statements and BAS data rather than full financial statements, meaning fast approvals even in June when annual accounts are not yet complete.
How quickly can VOXFIN get asset finance approved before 30 June?
VOXFIN can pre-qualify most asset finance applications within 24 hours of receiving your documentation. For straightforward applications – a registered business with ABN, 12+ months trading history, and a clear asset description – formal approval from a lender can be obtained within 2-3 business days. The key risk to EOFY eligibility is not the finance approval timeline but the asset delivery and installation timeline. VOXFIN strongly recommends initiating finance enquiries in the first two weeks of June to allow sufficient lead time for lender approval, supplier order, delivery, and installation before the 30 June deadline.
