Property Depreciation Schedules - The New reality

8 Tips To Maximise Your Tax Return

It’s hard to believe, but we’re approaching that time of the year again – tax time! As the end of the financial year draws closer, you’ll likely start thinking about that big fat tax refund and what you can do with it. But first you need to make sure you maximise your cheque. To help […]

The Depreciation Party Is Over

The depreciation party is over… Well, kind of! In an attempt to “reduce pressure on housing affordability” the Government has announced dramatic changes to the way depreciation is claimed on property. Let’s start with the good news: 1.  Any existing investment properties purchased (contract exchange date) prior to May 9 2017 are not affected (unless they […]

Depreciation on Holiday Homes

Go on holidays and claim depreciation! The ATO has recently announced a crackdown on property investors over-claiming deductions on holiday homes, this includes depreciation. If you’ve been on holidays, it’s very easy to get caught up in the romance of owning your own holiday home. Purchase price, stamp duty and mortgages offset by the rental […]

How to Stay Under the ATO’s Radar…

Learn how to stay under the ATO’s radar by watching this video A depreciation schedule on your investment property can generate significant tax savings – as long as it has been complied correctly. In my experience there are three areas the ATO tends to target come tax time. One of them is whether you’ve claimed […]

Can Depreciation Reports be split?

Can depreciation reports be split? Yes! So, when should you split your depreciation report: If you have purchased a property with a friend or family member, your depreciation schedule should be separated into individual reports that reflect how much you each own of that property. This will not only save you money in terms of […]

Immediately Write Off $300 and Low-Value Pooling

Having said that depreciation deductions are pro-rated depending on when you take ownership of a property, I’ll now give you an example that proves an exception to the rule. A Sydney client of ours settled on a one-bedroom Chatswood unit on June 25th last year. The property was built in 1999 and the purchase price […]

Why the Financial Year End Matters

Every one exchanges and settles a property on different days. However, the end of the financial year only occurs once. Your report should calculate exactly how much you can claim for building allowance depreciation, based upon the number of days you have owned the property in that financial year. For instance, if you settled on […]

Buy Property the Warren Buffett Way…

From a quantity surveying point of view, it’s never been a better time to invest in property… and in this week’s QS corner, I’ll tell you why. We depreciate investment properties based on the construction cost – not the purchase price. And since the GFC I’ve seen many cases where the purchase price is actually […]

What can I Claim as an Immediate Deduction?

It’s tax time and I thought I’d provide a list of some things that may help you save some money. If you’ve been reading this blog, you’d know by now that some things, name depreciation, cannot be claimed as an immediate deduction, however, there are some that can be. So what are these expenses that […]

Tips & Tricks of Property Investing

Let’s get into the tips & tricks of property investing: 1. The higher the building, the higher the depreciation Why? Because it has more of that plant and equipment stuff that I’m talking about and this stuff depreciates faster. It also has things like gyms, pools, etc. (UPDATE: Deductions for plant and equipment items may […]