Tax depreciation is one way a business can maximise its returns. Once utilised, it becomes a tool for success, but few know how to take advantage of it. In this pub and hotel depreciation guide, you’ll learn what you need to ensure you maximise Australian tax laws.
What is a Pub or Hotel Depreciation Schedule?
Depreciation is a tax deduction that occurs because of how property can wear down over time. It takes into account how materials, assets, and other items age. A depreciation schedule can help you understand property values, which later opens the door to claim deductions. You could save tens of thousands by using a hotel or restaurant depreciation schedule.
Tax deductions reduce the amount of taxable income, thus indirectly lowering the amount of income taxes you need to pay. The money you save here can lead you to get more cash flow that can help your business thrive. However, you’ll need specialists to ensure that you are getting the most deduction possible.
These schedules are comprehensive reports that show the costs of the building and the lifespan of each asset write down. A quantity surveyor helps prepare and certify the documents.
If you’re looking for help with pub depreciation, restaurants, or hotels, contact us. We can help organise your assets and maximise the money you save each tax year.
Get A Quote for your Hotel Depreciation Schedule Quote today.
Why Do I Need To Pursue a Tax Depreciation Schedule?
All hotel owners, pub, and restaurant owners can take advantage of tax deductions. Assets like hot water and air conditioning can affect your taxes if you don’t file for depreciation. If you don’t have a schedule with you, you are missing out on a significant sum that could change your business cash flow for the better. We recommend getting it as soon as possible.
It’s always a good move to pursue depreciation deductions. If you’ve been operating for some time, you can claim deductions spanning four years back. You’ll pay to make the report, but the benefits you get cost far more than paying for the schedule. It’s also ideal for property owners to have tax schedules created after a major refurbishment of their business.
The money you save will depend on the size and fit of the establishment. It’s not uncommon for businesses to see thousands of dollars in savings with our help. Don’t hesitate and contact us today to learn more about what we can do for you.
Get A Quote for your Hotel Pub Depreciation Schedule today.
What Assets Count Towards Depreciation?
Two types of assets fall under depreciation. The first is capital works. These refer to fixed assets in the property. Some examples of these assets include
These assets depreciate at a rate of 2.5 to 4% each year. It depends on the construction date of the hotel or pub and the assets involved.
The second type is plant and equipment assets. These are items you can easily remove and replace within the property. Some examples include:
- Hot water systems
These items depreciate at a much faster rate and have a reduced effective lives. For example, carpets depreciate at around 14 to 28% each year, while hot water systems lower by 10 to 20%. Hiring experts who understand these numbers can make it easy for you when you’re filing taxes.
Washington Brown is always ready to help you plan costs and check depreciation. Contact us today and see why many are regarding us as one of the best in the country.
We are approved by the Australian Tax Office and the Tax Practitioners Board.
As long as you have the documents prepared by a quantity surveyor, you have everything you need. While it may seem like a simple document, the tax schedule is highly detailed. Accountants can then use the information for calculating tax each financial year. The rates change as your business changes, so having an updated schedule each year is essential.
Costs for getting a schedule can vary depending on the size of your establishment. A simple hotel may need to spend a few thousand dollars for the tax schedule. On the other hand, large hotels or pubs will likely spend more to ensure they get all the information you need.
Our goal is to provide you with complete information while making sure that you have everything covered. Contact us, and we’ll make sure you get the schedule you need.
Work With Washington Brown Today
Since 1978, Washington Brown has helped countless business owners with their tax depreciation schedules. We understand that each can be different, and there are many factors to consider. We take care of our clients, which is why we are one of the oldest and most trusted specialist quantity surveyors in Australia.
If you’re looking for skill, certification, and experience, we are the company you can rely on to have your tax depreciation schedule prepared.
Get A Depreciation Quote for your Hotel or Pub today.