EOFY 2026: Is Your Website a Tax-Deductible Business Asset?
30 June 2026 is exactly one month away — and most Australian small business owners are leaving money on the table.
The Federal Government’s 2026-27 Budget (handed down 12 May 2026) made the $20,000 instant asset write-off permanent. That means any business with under $10 million in annual turnover can write off eligible assets — including a new website — in full, this financial year.
Yet 59% of Australian small businesses still don’t have a website. Cost and time are the top two objections. The EOFY write-off eliminates the cost objection entirely — but only if you act before 30 June.
Here’s what you need to know. If you want the wider picture, our EOFY checklist for Aussie small businesses covers the rest of the 30 June to-do list.
What Is the $20,000 Instant Asset Write-Off?
The instant asset write-off (IAWO) allows eligible small businesses to immediately deduct the full cost of an asset in the same year it’s first used or installed — rather than depreciating it over several years.
Key 2026 facts:
- Threshold: $20,000 per asset (GST-exclusive)
- Eligibility: Businesses with aggregated annual turnover under $10 million
- Made permanent: From 1 July 2026 under the 2026-27 Budget
- FY25/26 deadline: Asset must be first used or installed ready for use before 30 June 2026
- Business use: The asset must be used for business purposes
This is a real cash benefit. If your business is paying 25% company tax rate, a $2,800 website purchase generates a $700 tax saving in the current year — instead of spreading a smaller deduction across three or more years.
That $700 assumes the 25% company tax rate. A sole trader or partner taxed at a higher marginal rate can save proportionally more. Without the write-off, a website is depreciated over its effective life — typically two to four years — so you’d claim only a fraction of that deduction this year.
One caveat on the word “permanent”: the $20,000 threshold is confirmed for the financial year ending 30 June 2026, and the Government has flagged it will continue from 1 July 2026 — but that legislation still has to pass. The guaranteed window is this financial year, not next.
See LeonovDesign pricing options →
Does a Website Qualify for the Write-Off?
Yes — and this is the part most small business owners miss.
Website design and development costs are treated as depreciating intangible assets (or capital assets) under Australian tax law. A website you commission for your business — one built to generate leads, sell products, or serve customers — qualifies as a business asset.
Lump Sum vs Subscription: How Each Is Treated
| Payment Model | Tax Treatment | Notes |
|---|---|---|
| Lump sum ($2,800 one-off) | Capital asset → instant write-off in full under IAWO | Claim full $2,800 deduction in FY25/26 if live before 30 June |
| Monthly subscription ($199/mo) | Operating expense → deductible monthly | Each month’s payment is a deductible business expense |
Both models deliver a tax benefit — they just work differently. The lump sum gives you a bigger upfront deduction; the subscription gives you an ongoing operating cost that reduces your taxable income every month.
Important: Always confirm your specific situation with your accountant. The ATO’s small business tax time primer 2026 covers the write-off in detail.
State Grants That Can Cover Part of the Cost
The federal write-off is only half the picture. Several state governments run digital adaptation grants for small business, and approvals tend to move faster in June because agencies need to commit their annual budgets before the financial year closes.
Three programs worth checking:
- Victoria — Small Business Digital Adaptation Program. Helps Victorian small businesses adopt digital tools, including websites and e-commerce. Funding has been released in tranches, so check Business Victoria for the current round status.
- Western Australia — Small Business Growth Grants. Matched funding of up to $10,000 for digital capability, including website development. Matched means the grant can cover up to 50% of eligible costs — so a $2,800 website could attract up to $1,400.
- South Australia — Powering Business Grants. Grants of up to $75,000 for digital infrastructure. Amounts and eligibility vary by category, and website and digital marketing spend has historically qualified.
Stack them and the numbers change materially: a $2,800 website, a grant contribution, and a $700 tax saving can land the real cost well under $1,500. Eligibility rules differ in every state and rounds open and close without much notice, so confirm the current status with your accountant or a state business adviser before you rely on it.
The 59% Problem — and Why EOFY Is the Best Time to Fix It
Here’s a number that should surprise you: 59% of Australian small businesses have no website at all. In regional areas, that rises to 65%.
The top three reasons business owners give for not having a website:
- “My business is too small” — 44%
- “Too expensive” — 30%
- “No time” — 17%
The first objection is a myth. The second one is now solved by the write-off. And the third? That’s where having someone build and manage it for you removes the barrier entirely.
What makes this telling is the same research found that two-thirds of small businesses believe a website adds credibility, 59% see it as an enquiry channel, and 58% believe it opens new business opportunities. They know they need one. Cost and complexity are the only things stopping them.
EOFY creates a narrow, time-limited window where:
- The tax system refunds part of your investment through the write-off
- A well-built website can be live within 2–4 weeks
- The potential returns compound from July onwards — new leads, new bookings, better Google rankings
What Payday Super Means for Your Cash Flow After 30 June
There’s a second reason to act before 30 June, and it has nothing to do with tax.
Payday Super starts 1 July 2026. From that date, employers must pay superannuation at the same time as wages — not quarterly as is currently standard.
For small businesses, especially in construction, hospitality, and trades, the quarterly superannuation “float” has quietly functioned as working capital for years. That float disappears overnight on 1 July. Industry observers expect this to be a significant cash flow shock, particularly in sectors already operating on thin margins.
The message: if you’re planning to invest in a website, doing it before 30 June — while the write-off applies and before cash flow tightens — is the strategically sound move.
What a Good Website Actually Delivers for a Small Business
Let’s be concrete about what you’re buying.
A conversion-focused website isn’t a digital brochure. It’s a 24/7 sales tool that:
- Gets you found on Google — local SEO foundations mean customers searching “plumber near me” or “beauty salon Footscray” find you, not your competitors
- Converts visitors into enquiries — clear calls-to-action, click-to-call buttons, booking forms
- Builds credibility — 75% of consumers judge a business’s credibility by its website design
- Works while you sleep — no picking up phone calls at 10pm; your site captures leads automatically
The flipside is the cost of staying invisible: around two-thirds of Australians won’t consider a business they can’t find online. Every week without a site is a week a competitor collects those enquiries instead.
The numbers from LeonovDesign’s own clients:
| Client | Result | Timeframe |
|---|---|---|
| Keilor Park Soccer Club | +280% traffic, +38% revenue | 2.5 months |
| DreamEnglish | +320% traffic | 7 months |
| Melbourne Pro Painters | Full React rebuild, mobile-optimised | — |
A website that generates even one additional client per month pays for itself many times over. At $199/month, you need roughly one extra booking to break even — in most service businesses, that’s not a stretch. That’s the case for treating a site as an asset rather than another expense.
How LeonovDesign Makes This Easy Before 30 June
The typical objection to getting a website built before EOFY is timing: “I don’t have time to manage a big agency project right now.”
LeonovDesign’s process is designed for exactly this situation.
The build process:
- Strategy call — 30–45 minutes to map your goals and target customers
- Design + build — 1 to 4 weeks, depending on scope
- Review before launch — you see the site before paying a cent
- Live + tracking setup — Google Analytics 4, Search Console, Meta Pixel all connected on day one
- Ongoing edits included — unlimited changes, no hourly fees
The $0 upfront model means you don’t spend anything until your site is live and you’re happy with it. Billing starts after launch. There’s no cash-flow risk during the build.
For the write-off: if you want to claim the full $2,800 lump sum in FY25/26, you need the site installed and ready for use before 30 June 2026. Given a typical 2–4 week build time, that means starting no later than early June.
Book your free strategy call →
EOFY 2026 Website Checklist for Small Business Owners
Use this before 30 June:
- Confirm your business turnover is under $10 million (IAWO eligibility)
- Decide: lump sum ($2,800, claim as IAWO) or subscription ($199/mo, claim as operating expense)
- Start your website build by early June to ensure it’s live before 30 June
- Check whether a state digital grant is open in your state — it may cover part of the cost
- Keep all invoices and contracts — you’ll need these for your accountant
- Confirm with your accountant that the website expenditure qualifies in your specific circumstances
- After launch: set up Google Business Profile to amplify local SEO immediately
FAQ
Is website design and development tax deductible in Australia?
Yes. A website built for business purposes is treated as a depreciating asset under Australian tax law. The cost of design, development, and setup can be deducted. Under the $20,000 instant asset write-off (permanent from 1 July 2026), eligible businesses can write off the full cost in the year the site is first used. Monthly subscription fees are deductible as ongoing business operating expenses.
What is the EOFY deadline for the instant asset write-off?
For FY2025–26, the asset must be first used or installed ready for use before 30 June 2026. In practice that means the site is published, functional and publicly accessible before midnight on 30 June. A site still in development doesn’t qualify, and neither does simply ordering or paying for one. Build time matters: allow 2–4 weeks.
Does a website subscription count as a tax deduction?
Yes — but differently from a lump-sum purchase. A monthly website subscription (like LeonovDesign’s $199/mo plan) is treated as an ongoing operating expense, fully deductible in the year it’s paid. You don’t claim an instant asset write-off; instead, each month’s fee reduces your taxable income in that tax year.
Can I claim a state grant and the instant asset write-off for the same website?
Often yes, but the grant may reduce the cost base you deduct. If a $1,000 grant goes towards a $2,800 website, the deductible amount may be $1,800 rather than $2,800. Your accountant can advise how to structure it — the combined outcome is usually still better than either option on its own.
How quickly can LeonovDesign build my website?
Most websites are completed within 1 to 4 weeks, depending on complexity and how quickly content is provided. Standard 5-page sites typically take 2 weeks. To guarantee a live site before 30 June 2026, get started by early June at the latest.
What does a LeonovDesign website include?
Every build includes: conversion-focused design, mobile-first responsive layout, speed optimisation (Core Web Vitals), local SEO foundations, Google Analytics 4, Google Tag Manager, Meta Pixel, Google Search Console setup, and ongoing unlimited edits. Hosting is included in the subscription plan.
The Window Is Closing
30 June 2026 is one month away.
If you’ve been putting off getting a website because of cost, the $20,000 instant asset write-off removes that excuse — for this financial year. And with Payday Super tightening cash flow from 1 July, waiting until after EOFY makes the investment feel harder, not easier.
The math is simple: a $2,800 website, a potential $700 tax saving, and a tool that generates leads 24 hours a day.
Book a free strategy call → No commitment, no agency fee, no upfront cost. You see the website before you pay anything.
Disclaimer: this article is general in nature and is not financial or tax advice. Eligibility depends on your individual circumstances. Please consult a registered tax agent or accountant before making financial decisions based on the information above.
