temporary full expensing second hand assets Page 2

Temporary Full Expensing (TFE) was Canberra’s big red button that let businesses deduct eligible assets immediately instead of dribbling depreciation over years.

Second-hand assets did qualify—but only if your aggregated turnover was under $50 million; bigger players generally needed new gear to play.

The asset had to be acquired after 6 Oct 2020 and first used or installed ready for use by 30 June 2023, with carve-outs (e.g., buildings, some pools) and the ATO car depreciation limit still capping passenger vehicles.

TFE ended on 30 June 2023; now small businesses under $10 million turnover typically rely on the Instant Asset Write-Off (a temporary $20,000 threshold through 30 June 2025).

So yes, second-hand kit could be fully expensed under TFE for eligible small businesses—mind the dates, turnover tests and caps, and have a word with your accountant.