Speak with Australia’s multi-award-winning Industrial Property Depreciation Experts, Washington Brown, and maximise the deductions you can claim today.
Request A Quote Free Consultation
Are You Having These Problems?
Are you paying a significant amount in taxes on an industrial investment that has seen better days? The issue for many commercial real estate owners, industrial real estate specifically, is that they’re continuing to pay the same level of taxes. At the same time, their building physically depreciates, resulting in costs that do not match up with the actual value of the property owned.
Many of these commercial real estate investors may not know that you can claim physical depreciation on industrial properties that are income-producing and properties you are renting to save money along the way.
Getting started is as simple as reaching out to Washington Brown for support! With our extensive knowledge of industrial property depreciation and guidance, we can ensure that you’re receiving the full claim amount you deserve.
Maximise your claims by calling us at 1300 990 612 today!
What Are The Rules For Claiming Depreciation On An Industrial Property?
Real estate owners might be familiar with the changes made to depreciation rules in 2017, making it so that residential property owners could only make depreciation deductions if they were related to plant and equipment items on new properties.
The good news? While these changes have been implemented for residential real estate, industrial property depreciation claim rules for commercial real estate owners have not changed at all.
This allows you to file claims for capital works (construction costs related to the building) as well as for plant and equipment assets (items found within the building).
As long as you have a building experiencing property depreciation, you’re ready to file these commercial property depreciation claims when you file taxes.
Maximising Your Claims With Washington Brown
The mistake that many industrial real estate owners will make is trying to conduct their own industrial property depreciation audit. Without the proper support, you can end up missing out on thousands of dollars that you would have otherwise been able to claim.
Additionally, misreporting can result in an ATO audit that could have been avoided. Fortunately, Washington Brown is dedicated to making sure that you’re able to maximise your depreciation claims safely and effectively.
We here at Washington Brown Depreciation are experts in commercial property tax depreciation . Our specialist commercial property depreciation team offers you greater savings by leveraging their extensive industrial property experience to find claims on your property.
All we need to do is inspect your property, or review project documents and resources, to ensure it meets the necessary ATO requirements (as per the Australian Institute of Quantity Surveyors Code of Practice), document and photograph all evidence of depreciation (this will keep you protected in the event of an audit), and handle your claims calculation for you.
Contact us today if you’re ready to file your claim!
How It Works
Getting Started With Washington Brown
Step 1: Contact Us
Once you’re ready to maximise your tax savings on your industrial investment, contact us. We can take the next steps of conducting a property inspection, or reviewing your project information, to ensure that your real estate meets ATO requirements.
Step 2: Let Us Find Opportunities to Claim
We go through the process of analysing your property, finding deductions, and documenting all claims so that you can rest assured that you’re getting the savings that you’re able to claim from your property.
Step 3: Save Money!
Whether you’re an industrial real estate owner or tenant, Washington Brown is dedicated to helping you save money. Just reach out to us, let us find your claims, and save! It really is that easy.
Industrial Property Case Studies
See What We’ve Accomplished For Other Commercial Real Estate Owners
- Project:
- Office and Warehouse Facility
- Location:
- Eagle Farm, QLD
- Washington Brown’s Role:Tax Depreciation Report
- Eligible Capital Expenditure Deductions:
- $300,000+
- Construction Cost:
- $250,509
- First Year Claim:
- $19,600
The property was purpose-built in 1996. The property contains offices and warehouse facilities that typify industrial premises.
- Project:
- Logistics Office and Warehouse Facility
- Location:
- Regency Park, SA
- Washington Brown’s Role:Tax Depreciation Report
- Eligible Capital Expenditure Deductions:
- $3,900,000+
The main office and warehouse facilities were constructed in the early 1990s with various improvements over the years. The premises houses offices, cold and dry storage, mechanic workshop and dedicated truck washing facilities, and over 15,000sqm of external trafficable areas.
- Project:
- Office and Warehouse Facility
- Location:
- Eastern Creek, NSW
- Washington Brown’s Role:
- Tax Depreciation Report
- Eligible Capital Expenditure Deductions:
- $4,800,000+
The property was purpose-built in 2005. The property contains high-quality offices and a large warehousing space with associated facilities.
- Project:
- Logistics Office and Warehouse Facility
- Location:
- Smeaton Grange, NSW
- Washington Brown’s Role:
- Tax Depreciation Report
- Eligible Capital Expenditure Deductions:
- $2,200,000+
The property was built in 2008. The property contains large offices and warehouse facilities that are common in newly parcelled industrial estates within NSW.
Frequently Asked Questions
Learn How Washington Brown Can Help You
What Is Depreciation?
Property depreciation occurs when an asset loses value over time due to physical deterioration.
According to Australian tax law, individuals who own commercial real estate (such as an industrial property) used for income-producing purposes or those who are a tenant renting industrial property are entitled to claim the depreciation of that property against your taxable income
There are two types of depreciation allowances available for properties:
- Capital Allowances: This includes construction costs of the building itself, such as concrete and brickwork
- Plant and Equipment: This includes items within the building ranging from carpet, window blinds and kitchen appliances
Warehouse property depreciation can be claimed for all types of industrial properties, including warehouses, sheds, factories, and logistics and distribution centres. It also applies to those with other components such as offices and car parking.
What Am I Allowed To Claim As An Industrial Property Owner Or Tenant?
The type of property (whether it’s non-residential property or manufacturing property) and the date on which it was built (1982 to present) will ultimately determine the commercial property depreciation claim rates that you will be able to take advantage of when filing your taxes.
Here at Washington Brown, we calculate these rates once we do a full inspection or review of your property and begin seeking out warehouse property depreciation claims. In regards to plant and equipment claims, we maximise your savings by documenting and claiming every possible item that we can claim!
Why Should You Claim Depreciation As a Property Owner?
Real estate, like anything, loses value over time as it begins to experience regular wear-and-tear. If you fail to report this gradual damage, you end up paying more than you should.
It’s important to maximise your industrial property depreciation deductions as a commercial property owner because it could save you millions of dollars on property that you own or rent.
Not only is it common sense, but it’s good business to maximise your deductions and, in turn, your profits. Many owners miss out on the savings that can be made through depreciation – don’t be one of the statistics!
How Much Can I Claim In Depreciation Deductions?
Having a depreciation schedule for a warehouse property will enable many owners to claim millions in depreciation. However,many factors will play a role in how much you’re able to deduct, including the size, age, and value of the asset.
For example, let’s imagine that you have a warehouse with an office component purchased for more than $6 million in 2016. A total of $3.65 million can be claimed in depreciation over 40 years, $910,000 in the first five years.
While this is an excellent example that illustrates the importance of making depreciation claims, each commercial property is different. Many varying factors must be considered when preparing a property depreciation schedule for your individual property.
With this in mind, we have launched the Washington Brown Depreciation Calculator to give you an estimate of potential deductions for your property. Then, we can provide you with the comprehensive support you need to act on these savings.
What If My Property Is Small?
You can claim depreciation on your industrial property, no matter what the size. From claims made on the building itself to claims regarding the building’s contents, the only risk you take by deciding to file commercial property depreciation claims is saving money!
Can You Claim Depreciation As An Industrial Tenant?
Tenants may be lead to believe that, since they do not own the property, they can’t make any industrial property depreciation claims. However, this couldn’t be further from the truth.
Tenants can claim depreciation on the plant and equipment items or assets they have purchased to carry out their business, including freestanding furniture and traffic management assets.
Washington Brown provides professional depreciation advice and reports for buyers, owners, and sellers of industrial properties, as well as tenants.
Do You Need To Get A Professional Depreciation Schedule?
Yes. A depreciation schedule will maximise the tax savings on your industrial investment.
The good news? You only need to get it done once, which you can easily accomplish with a Washington Brown depreciation schedule valid for up to 40 years (the lifetime of the building). However, we recommend that you update the report if you do any renovations, repairs, or need to replace internal items.
You can provide the report straight to your accountant at tax time.
How Much Does A Depreciation Schedule Cost?
The cost of preparing a tax depreciation schedule varies according to numerous factors, including your industrial property’s location and size. Get an individual obligation-free online quote from Washington Brown now.
The fees are 100 percent tax-deductible, and we guarantee you’ll save at least twice our fee in the first 12 months, or there’ll be no charge!