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At Washington Brown Quantity Surveyors – Sydney, we’ve provided depreciation schedules and quantity surveying advice to individual property investors and developers in Sydney for over 40 years.

We’ve got experience across all building types – residential, commercial, industrial and government. We service all Sydney locations and suburbs and regional and country NSW, including Newcastle, Wollongong, Blue Mountains, Central Coast, Coffs Harbour, Orange and Batemans Bay.

Our team of Sydney Quantity Surveyors are members of the Australian Institute of Quantity Surveyors and are experts in tax depreciation schedules.

How will a depreciation report help me?

As a property investor, you are entitled to claim the wear and tear of an investment property against your taxable income.

The property’s age will affect how much you can claim. Generally speaking, the newer the property, the more you can claim because the Australian Taxation Office has ruled that you can no longer claim depreciation on Plant & Equipment in second-hand properties.

How much will my depreciation report cost?

Many factors help determine how much a depreciation schedule will cost for your Sydney investment property.

Some of the factors include:

Why choose Washington Brown to prepare my Sydney Depreciation Schedule?

What does a depreciation schedule look like?

A Sydney tax depreciation report has two components, as you can claim two types of allowances when depreciating a property.

First, you can depreciate the structure of the building, which is called the Division 43 allowance. This allowance relates to items such as bricks, concrete, etc.

The second part of a depreciation schedule relates to the Plant & Equipment in the building. These items relate to things like ovens, dishwashers, and blinds. These objects are easily removable and depreciate faster.

Depreciation Schedules Sydney

How much depreciation can I claim on my Sydney property?

Your claim will depend on the type of property you have bought and how old it is.

The best way to calculate how much you can claim is to use the Property Depreciation Calculator.

We used the calculator and worked out that you could claim over $100,000 over the first ten years, based upon a purchase price of $800,000.

Depreciation Schedule Example

How long will my depreciation schedule last for?

The report generally lasts for 40 years when you order a depreciation schedule. You do not need to come back and request a new depreciation schedule because the information we produce will itemise the allowance you can claim over the life of the property.

How long will it take to get the depreciation report?

Generally speaking, the report takes between one and two weeks to organise. The main factor that decides how long it takes is whether an inspection is required.

Due to recent law changes, not all properties need a property depreciation inspection.

What’s the difference between a depreciation schedule and a depreciation report?

Nothing. It’s just an industry term; sometimes, we refer to these reports as depreciation schedules and sometimes as depreciation reports.

What are capital works deductions?

Capital works deductions relate to the structure of the building, including brickwork, roofing, concrete, etc.

You claim the capital works allowance at a rate of 2.5% per annum based upon the original construction cost. So if the property initially cost $100,000 to build, you can claim $2500 per annum as a tax deduction.

The year the property was built impacts your depreciation claim, as the 40-year life of a capital works allowance will start from.

The capital works allowance can vary from 2.5% to 4% – but in most cases, as a residential property investor, you will only be claiming 2.5% per annum.

Will you need to inspect my Sydney property in order to prepare a depreciation schedule?

That depends on the property. An inspection may not always be necessary with the recent tax law changes relating to depreciation laws for investment properties.

A qualified Quantity Surveyor should review your property first and then advise whether a property inspection is necessary to achieve the maximum depreciation allowances.

Commercial Depreciation Schedule Sydney

Can you prepare commercial depreciation reports?

Washington Brown also prepares office, industrial, and even shopping centre depreciation schedules.

Even if you are the tenant, you can still benefit from a commercial property depreciation schedule because you may have paid for the fit-out, which means you can claim the depreciation.

Can’t my accountant prepare my depreciation report?

The Australian Taxation Office is quite clear that an accountant cannot estimate the construction costs where the costs are unknown.

Tax Ruling TR 97/25 identifies professional Quantity Surveyors as having the appropriate skillset to estimate the construction costs where the costs are unknown.

How often do I need to get a report?

The good news is that you only need to order a Sydney depreciation schedule once. The depreciation schedule will last for 40 years. Of course, if you make significant improvements to the property, it might be best to get the report amended and update your tax return.

If not, you can use the report for the life of the property, subject to your circumstances.

Are your fees tax deductible?

Yes, all fees paid for the depreciation schedule’s preparation are tax-deductible.

Do you offer a gurantee?

Yes! If we don’t get you at least twice your fee in the first 12 months since your settlement date, we don’t charge you.

So you have nothing to lose, and it’s highly recommended all property investors investigate getting a depreciation schedule.

To discuss your project or Sydney investment property depreciation schedules, call us now at (02) 8324 7440.

To reach us via snail mail:

Washington Brown (Sydney NSW)

Suite 504 / 321 Pitt St,

Sydney NSW 2000