Claiming Medical Equipment Deductions

Medical technology moves fast, and keeping your clinic up to date is expensive. Whether it's a $40,000 Ultrasound machine or a $15,000 Dental Chair, understanding how to claim these costs is vital for cash flow.

Instant Asset Write-Off (Small Business)

If your turnover is under $10 million, you may be eligible to write off the full cost of assets costing less than $20,000 (FY2026 threshold - verify current legislation). This provides an immediate tax deduction.

General Depreciation Pool

For assets costing more than the instant threshold, you place them in a Small Business Pool.
You claim 15% deduction in the first year and 30% every subsequent year. This allows you to write off the asset faster than its effective life.

Lease vs Buy

Many clinics choose to lease high-tech equipment.
Leasing: You claim the monthly lease payments as a deductible operating expense. This is often better for cash flow.
Buying (Chattel Mortgage): You claim the GST upfront and the depreciation annually.