If a new website is on the cards for your business this year, there’s a new government incentive that’s genuinely worth looking into.
It’s called Investment Boost – and it allows you to claim an immediate 20% tax deduction on the cost of eligible capital investments – including websites.
So what does that actually mean?
Say you’re investing $40K in a new site. Under this new scheme:
- You can claim 20% (that’s $8,000) upfront in the same tax year
- The remaining 80% is depreciated as usual
- It’s not capped, and it’s optional – so you can choose what assets you apply it to
It’s a simple way to improve cash flow and get more out of investments you were probably planning to make anyway.
Does your website qualify?
Yes – if it’s a custom build and treated as a capital expense (which most are). That includes Business websites and eCommerce platforms.
It doesn’t apply to ongoing hosting, software subscriptions, or off-the-shelf templates under $1,000 – but if you’re making a serious investment, it’s very likely eligible.
Why it’s worth considering
We’re seeing more businesses refresh their websites now – not just for design, but to:
- Improve performance and user experience
- Get in front of AI-powered search results
- Connect marketing tools and data properly
- Set themselves up for growth
This new tax incentive just makes it a little easier to justify the spend.
If you’re already thinking about refreshing your website, it’s worth chatting with your accountant to see if this might apply. You can also find out more information about the incentive and eligibility on the NZ IRD website.
We’re building this into planning conversations with clients to help stretch budgets further and make digital projects more viable now. Get in touch if you’d like to have a chat about how this could fit in with your plans for 2025/2026.