July 1 brings key changes and incentives for NSW small businesses. Here’s what you need to know.

Superannuation Guarantee rises to 12%

The Super Guarantee (SG) rate will rise to 12%. You must apply this new rate to all salary and wage payments made on or after that date, even if the pay period begins before 1 July. This is the final increase under the current legislated schedule.

Make sure SG contributions are paid in full, on time, and to the correct fund. The next quarterly deadline is 28 July, though you can choose to pay more frequently to align with your payroll cycle.

To calculate your required contributions, use the ATO’s Super Guarantee contributions calculator.

Minimum wage increases by 3.5%

The Fair Work Commission recently announced a 3.5% increase to the National Minimum Wage and minimum award wages.The increase applies from the first full pay period starting on or after 1 July 2025.

Interest on ATO debt

From 1 July 2025, you can no longer claim a tax deduction for General Interest Charge (GIC) incurred on unpaid tax or liabilities. Currently, GIC is charged at 11.17% and compounds daily.

While GIC incurred before 1 July 2025 remains deductible this tax year, any GIC after that date will increase your small business’s cost of carrying tax debt.

Changes to business vehicle depreciation

If you use your car for work, the maximum value allowed for calculating depreciation is now capped at $69,674.

$150 energy bill relief rebate

Eligible small businesses will get an automatic $150 rebate on energy bills in two $75 instalments between July and December 2025. To qualify, you need an active ABN, be named on the electricity bill, and use less than 100 MWh per year. 

Up to $1500 NSW battery rebate

If you install a solar battery and connect it to a Virtual Power Plant, you can claim up to $1500 on top of the federal rebate, helping you save energy and support the grid.

Bonus 20% tax deduction on energy-efficient upgrades

If your turnover is under $50 million, you can claim an extra 20% tax deduction (up to $20,000) for energy-saving assets bought between July 1, 2023, and June 30, 2024.

Instant asset write-off

Small businesses will continue to be able to deduct the full cost of eligible assets costing less than $20,000 that are first used or installed ready for use by 30 June 2026.

The threshold applies per asset, which means small businesses can claim multiple purchases – from new tools for tradies to computers and tablets, and office equipment to kitchen equipment and coffee machines for cafes.

Explore more