The change will temporarily increase the small asset depreciation threshold from $500 to $5,000 for the tax year 2020/2021.
This means that you can receive a full tax deduction for the assets purchased irrelevant of the number of days held (rather than having to depreciate the assets over several years as per previous legislation). Use it as an opportunity to bring forward purchases for healthy homes like heat pumps.
It is important to remember this is not a refund, it is a tax deduction. You will only get a portion of your money back.
The NZPIF started that the new ring-fencing rules may limit the benefit of this for many rental property providers. Please clarify with your accountant if these limitations apply to you.