Hello
Can someone advise of the depreciation rates for software.
Also is it possible to write it off if this software purchase is part of a set up of a new business?
6,580 views
6,580 views1 replies
1 replies
6,580 views
1 replies
This thread is archived and the information may not be up-to-date. You can't reply to this thread.
Hi @ukalexander
It's usually five years for software. If it's in the software development pool, it's depreciated over five years as:
- Year 1 – Nil
- Year 2 – 30%
- Year 3 – 30%
- Year 4 – 30%
- Year 5 – 10%
You do have the option to claim a 100% deduction under temporary full expensing so long as it isn't allocated to your software development pool, though.
You can read about in-house software on our website
All replies
Hi @ukalexander
It's usually five years for software. If it's in the software development pool, it's depreciated over five years as:
- Year 1 – Nil
- Year 2 – 30%
- Year 3 – 30%
- Year 4 – 30%
- Year 5 – 10%
You do have the option to claim a 100% deduction under temporary full expensing so long as it isn't allocated to your software development pool, though.
You can read about in-house software on our website
Featured articles
22 Apr 2024 · 6 min read time
15 Apr 2026 · 5 min read time
15 Apr 2026 · 4 min read time