Quantity Surveying?

With Regard to the building write off mentioned above don’t just assume a 2.5% pa 40 year write off There are many ways your property could qualify for 4% write off but as this only allows it to be depreciated over 25 years since construction it may not work in your favour if the building is getting on.
The benefit is in the detail for example.
Residential properties on which construction first commenced after 18th July, 1985 and before 16th September, 1987 are entitled to be depreciated at 4% per annum.
Commercial buildings constructed after 26th February, 1992 will qualify for the 4% depreciation rate if they are “used mainly for certain Industrial activities or amenities or offices for workers and supervisors involved in industrial activities.” The Industrial activities are:
1) The manufacturing of items or storage of manufactured items.
2) Processing of primary products
3) Printing, lithographing and engraving.
4) Preparation of foodstuffs in a factory or brewery.
5) Activities associated with the above such as packaging and cleaning.
On Commercial buildings started before 16th September 1987 and after 21st August, 1984 a write off of 4% pa is allowed. .
Buildings constructed after 26th February, 1992 can be depreciated at 4% if they are used as a motel, hotel, guesthouse or short term traveller accommodation providing there is at least 10 bedrooms or apartments.
The building costs must be determined by the original documentation or a quantity surveyor’s report.
Before you spend money on a quantity surveyor make sure you have exhausted all other means. The ATO will not permit you to use the quantity surveyor’s report for building depreciation if you can ascertain the original cost by other means. The seller of a property is required by law to provide you with the original information. You should also find out if the original owner was a professional builder or owner builder as the building depreciation calculation cannot include his or her labour or profit.

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Depreciation benefits on pre 85 built properties are being progressively squeezed. A number of items have been removed from the Depreciable Assets register NB this register is a little bit arbitrary and it’s prudent to monitor Interpretative Decisions and Rulings to determine where the ATO stands at any given time. We no longer include television aerials, switchgear and telephone installations – it’s the ATO’s contention that these are part of the building. When the new changes come into effect, light fittings will be treated similarly. We have a guarantee that ‘if we can’t find you more depreciation than our fee in the first full year, your schedule is free.’ So it’s worth a call to 1300 660033. If my guys don’t think it’s worth doing a schedule, they’ll tell you not to spend the money.
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