We see new ATO warnings as a reminder to new and existing rental property owners to make sure you are CLAIMING all possible tax deductions. DON’T MISS OUT on thousands of dollars by not claiming capital works deductions or allowable depreciation amounts. In most cases this is the second biggest rental property deduction (after interest) in your income tax return.
From 2018 most travel claims to rental properties are not deductible and there are some restrictions on claiming depreciation deductions from second-hand items…
BUT… You can still claim qualifying capital works tax deductions (capital allowances or depreciation) on the structure of the building, including capital works carried out by the current or a previous owner, even if you are a new investor, AND depreciation on new assets that you purchase for the property.
With extra scrutiny by the Australian Taxation Office (ATO) of rental property tax deductions in 2018 it’s very important to get it right. Make sure you are maximising your claims by getting the right professional tax advice and using a quality Quantity Surveyor to get the most claims and biggest possible tax refund. A good quantity surveyor can provide you with a detailed 40 year depreciation schedule in both paper and various electronic forms. We can also secure discounts with two of the major national quantity surveyor firms on your behalf if needed.