The 2025 Budget introduced a new 20% deduction immediately available on eligible new assets (like machinery or equipment), in advance of the normal depreciation available on the asset. It’s a smart way to cut your tax bill while investing in growth. Talk to us if you think this could apply to your business.
The incentive applies only to new assets and new-to-New Zealand assets, i.e.
• New assets sourced in New Zealand.
• New and second-hand assets sourced from overseas.
Second-hand assets from overseas are eligible because these increase the capital stock, whereas second-hand assets traded between New Zealand businesses do not.
Disclaimer: This blog has been carefully prepared, but it has been written in general terms only. The blog should not be relied upon to provide specific information without also obtaining appropriate professional advice after detailed examination of your particular situation.
