Depreciation is the amount of money you can “write-off” (claim as expensed or used up) against the value of any assets used in the course of producing assessable income.
In the case of property investors, investors may offset their taxable income against expenditure on plant and equipment used to produce assessable income.
Plant and Equipment includes items such as Ovens, Dishwashers, Carpets Blinds, Lifts, etc. The ATO provides specific guidelines as to how these write-offs are to occur.
Who Can claim the Depreciation?
Depreciation can be claimed by the owner of the Plant and Equipment, the one who is earning income from the use of these items.
Four Reasons – Why YOU Should Have A Professional Depreciation Schedule For Your Investment Property
1. “Legitimatise” Your Depreciation Claims
ATO Warns Property Investors to ‘Get It Right’.
Accountants and Valuers are not allowed to prepare a schedule under the ATO Rulings, and if you prepare your own schedule that is incorrect, the risk of heavy fines is far greater. Also The federal government is spending an extra $216.4 million to assist in the enforcement of Tax Compliance Rules on taxpayers, and the focus is heavily on real estate. By having an external, independent and professional person prepare your Depreciation Schedule the authenticity and legitimacy of your claims are enhanced.
2. Maximise Your Claims With a Thorough & Accurate Depreciation Report
Defining the applicable taxation rulings on items to be included in the Depreciation Schedule can be confusing as can determining the value of these items. Not getting this right could cost you money by limiting the number or the amount of deductions claimed.
3. Fixed Fee
We offer a fixed fee service for either a unit or house, furnished or unfurnished. This gives you the advantage of no hidden charges that may apply from other companies.
4. Tax Deductible
The preparation of Tax Depreciation Schedules is 100% tax deductible, which is a minimal outlay for the return you receive by way of tax deductions.
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Tax Depreciation Schedule Services Locations:
Independent Inspections provides tax depreciation services to all major cities in Australia such as Brisbane, Cairns, Mackay, Rockhampton, Sunshine Coast (QLD), Sydney, Central Coast, Coffs Harbour, Wollongong, Newcastle (NSW), Melbourne, Ballarat, Bendigo (VIC), Adelaide, Bunbury (SA), Perth, Mandurah (WA), Darwin (NT), Canberra (ACT), Hobart (TAS), Gold Coast (Queensland).