Tax write-off a hit on farms
ILLABO sheep producer Peter Belling has capitalised on the Federal Government’s highly popular tax write-off for equipment purchases valued up to $20,000, by purchasing a Clipex Sheep Handler before the end of financial year.
The business-savvy cereal crop and sheep producer, who runs Dundoo Hills with his wife and son, said the tax break was a big incentive.
“The machine itself was $19K without the scales, but it will be worth it.
“If the incentive is there, you might as well be improving the farm – you don’t want to be working with old gear all the time,” he said.
Peter purchased the Clipex Sheep Handler in March to meet the end-of-financial year deadline.
“I was looking to save time and man power,” he said.
“We buy wethers or lambs every few months and then fatten them up and turn them off and get another lot, so for us the Sheep Handler has a dual purpose.
“As we speak I am shifting sheep onto grazing canola and grazing wheat and they will stay here until we shut these paddocks up at the end of June and then we’ll harvest in
October.”
The high turnover of stock is labour intensive, with Peter man-handling a lot of sheep in his 35 years on the property.
“I’ve purchased 1500 wethers in the past few weeks and, when they arrive, I weigh and sort them into their weight category,” Peter said.
“Yesterday I vaccinated, drenched and drafted 700 wethers by myself with two dogs using the Clipex Sheep Hander.”
Peter said prior to purchasing the machine the
same task would have taken him one-and-a-half days.
“I would have to run them up a draft onto a set on scales and then release them and then go back and get another one,” Peter said.
The Federal Government has extended its $20,000 instant asset tax write-off scheme for another 12 months.
Businesses with an annual turnover of up $10 million will now have until June 30, 2018, to deduct eligible assets up to the value of $20,000.