Big win for farmers: The instant asset Write-Off is here to stay and here's how you can make the most of it this month

For small businesses and primary producers with a turnover under $10 million, this is a massive win. It means from July 1st, you can immediately deduct the full cost of eligible assets worth up to $20,000, rather than dealing with the headache of depreciating them over several years.

Instead of being a temporary bonus that changes year to year, this rule looks like it will become permanent. It’s a powerful tool for managing your cash flow, smoothing out those unpredictable seasonal income shifts, and upgrading your gear without waiting around for long-term tax delays.

What can you write off under the $20,000 rule?

The beauty of this rule is that it applies to both new and second-hand assets, as long as the item costs less than $20,000 (excluding GST) and is ready to work on the farm.

Some common examples include:

• UTVs and farm bikes
• Portable air compressors and workshop tools
• Farm tech (GPS units, monitors, computers)
• Office equipment

Quick tip on vehicles: The total purchase price needs to be under $20,000 to qualify for the instant write-off, not just the business portion of it!

The bigger wins is no-limit deductions for Primary Producers

While the $20,000 threshold is handy for workshop upgrades and tech, the real muscle for farmers lies in specific primary production concessions. For certain critical farm infrastructure, there is no dollar limit at all for an immediate deduction. You can write off the full cost upfront for:

• Fodder Storage: Silos, hay sheds, and grain storage facilities. It’s an incredible way to invest in drought preparedness and feed security without being penalised at tax time.
• Water Infrastructure: New dams, tanks, bores, irrigation systems, pumps, and pipelines can all be written off immediately.
• Fencing: Whether you're putting up boundary fencing, internal paddock lines, or exclusion fencing, you can deduct the lot in the year you buy it.

JBR’s Surplus Machinery & Farming Equipment Auction

With these rules locked in, right now is the perfect time to look at what your operation needs for the year ahead. And we have just the opportunity to help you find it.

Our JBR Surplus Machinery & Farming Equipment Auction starts this Friday! Whether you’re looking for excavation equipment or looking to upgrade your broader farm kit, this is the place to look.

Here is everything you need to know to get ready to bid:

• Bidding Starts: Friday, May 29th, 2026
• Bidding Closes: 6:00 PM, Wednesday, June 3rd, 2026
• Where to Bid: Hosted entirely online via The Auction Exchange

Because both new and second-hand gear qualify for tax advantages, buying quality used equipment through our online auction is an incredibly smart way to maximise your write-offs before the end of the financial year.

Head over to the online portal now to check out the catalog, register your details, and get ready for Friday! As always, if you have any questions about the gear on offer or want to chat about market trends, give the James Bradford Rural team a call.