If you own a rental property (residential or commercial) and you’re not claiming depreciation each year then you are missing out on valuable tax deductions and tax savings. Rental property owners should engage a quantity surveyor who specialises in depreciation, completes a site inspection and provides a comprehensive schedule. Depreciation schedules are used to capture the reducing value of capital and plant assets as they reduce over a certain period of time. Some items investors often miss when claiming depreciation without expert advice include clotheslines, security systems, garbage bins, hot water systems, smoke alarms and even garden hoses. The good news for investors who have missed out on depreciation in past years is that they are permitted to amend the previous two financial years’ claims.
Below are links to four reputable local quantity surveyors who you can contact for a quote to prepare a depreciation schedule for your rental property. The fees to prepare the reports are 100% tax deductible.
If you have any queries or require any assistance contact us now.