The 2022 Federal Budget offers a 120% tax deduction on website design spending for small businesses.

budget 2022 website design deduction

Tax deductions for small business website spending.

The 2022 Federal Budget offers a 120% tax deduction on web design spending for small businesses.

In his budget speech on Tuesday 29th March, Federal Treasurer John Frydenberg announced “From tonight, every hundred dollars small businesses spend on digital technologies like cloud computing, e-invoicing, cybersecurity and web design will see them get a $120 tax deduction.”

Under the incentive, more than 3.6 million businesses with an annual turnover of less than $50 million would be able to claim an additional 20% tax deduction on costs incurred on business expenses and depreciating assets that support “digital adoption”.

Spending of up to $100,000 a year would be eligible for the bonus deduction and businesses will be able to claim the tax break on purchases made between now and 30th June, 2023.

Has your website remained unchanged for a few years?

If your website has been sitting idle for a few years, this tax incentive provides the perfect opportunity to improve the design, layout and content.

Client conversions will increase as your website better represents your expertise in 2022, not that of several years ago.

Importantly, Google will love your website because it adheres to the algorithm’s 2022 requirements, rewarding you with a higher search engine ranking.

It’s a win for your business and balance sheet.

It’s very important to keep Google happy.

Google is always adjusting what they ‘require’ of websites.

No longer is search engine optimisation (SEO) a matter of having the right amount of keywords peppered throughout your content, Google now has ‘technical expectations’ which includes website performance, speed, accessibility and best practice.

Consider this, if Google’s algorithm rewards your website with a high search engine ranking, it wants the assurance that, when visitors view your website, they have an enjoyable and trouble-free experience.

If Google thinks they won’t, then your search engine ranking will be reduced.

If your website hasn’t been updated for some time, it certainly won’t adhere to Google’s 2022 technical expectations as these weren’t a requirement a few years ago. So, if a high search engine ranking is important for your business then a website design technical refresh is paramount.

Is it time to refresh your keywords?

Over time, the keywords and search terms your customers use to find your products and services can change.

Additionally, your competitors may be regularly working on their websites, thereby boosting their keyword relevancy.

Before you know it, your website is slipping down the search results and customer enquiry is waning.

If your website hasn’t been updated for some time, your keyword relevancy may be lower than is required to secure a high search engine ranking.

It’s time for a search engine strategy refresh.

This typically involves discussing any changes that may have occurred in your industry. Has your business evolved?  Are you offering new or different products and/or services?  Have new competitors entered the market?  Have competitors improved their online marketing?

With this information, I can undertake fresh keyword research, using sophisticated online marketing tools, to develop a 2022 search engine strategy for your website.

This will highlight what updates and changes may be required so you can re-establish your hierarchy in the Google rankings.

Does your website convey a great impression to potential customers?

Once people arrive at your website, it should convey a professionalism that leaves potential customers compelled to purchase your products or enlist your services.

Why waste time and money boosting your online presence to lose customers when they arrive at your website?

It may be time for a design refresh if you answer ‘no’ to any of the following:

  • Does your website represent your products and / or services in 2022?
  • Can customers see examples of your latest work or are you still showcasing the same old projects that were completed years ago?
  • Does your website speak to the 2022 customer or is it outdated and antiquated?
  • Does your website represent modern website design principles, portraying that your company is current and progressive?
  • Does your website feature functionality that is consistent with your industry and that used by your competitors?
  • Does your website make it easy for customers to engage with you?
  • Does your website assist your employees to work effectively and provide information easily to customers?

By undertaking a simple and cost-effective design and content refresh, your website will be transformed from an underutilised resource into a powerful tool that is working hard for your business (without complaint) every minute of every day.

The benefit of adding keyword-centric content.

Once your website has a solid design and SEO foundation, regularly adding quality content is the number 1 ongoing search engine marketing strategy you can have.

The Google algorithm LOVES the addition of fresh content and will reward you handsomely for it – and quickly!

A good content strategy is the easiest way to beat your competitors, achieve a top ranking and, more importantly, stay there.

Unfortunately, it’s not just a matter of adding any old content.  To ensure you achieve the biggest ‘bang for your buck’, your content should be based on a carefully formulated SEO content strategy.

This is why keyword research is paramount.

Keyword research provides an honest insight into the keywords and search terms used by potential customers to find your products and/or services.


If you have any questions about how your business can take advantage of the 120% digital upgrade tax incentive, please don’t hesitate to contact me anytime.

I can run a series of quick tests on your website and, based on the results, discuss with you what changes I recommend should be made.   I can point out areas of concern and improvements that will offer the return on your investment.

For taxation advice specific to your business, please speak with your accountant.