Hello everyone,
I purchased an investment property in August 2003 and are going to have it available for rent end of July 2004. The house needed renovations as it was a sleeping beauty. Substancial structual work has been done so and the interest payments alone have reached 5 figures. Ive been advised by my accountant that i will not able to claim expenses, depreciation, interest, etc because it was not rented or ready for rent during this finishing financial year. Is this totally true or do i have other options??Probably true. You have to at least have the property on the market looker for renters to be able to claim. As far as I am aware.
Terryw
Discover Home Loans
North Sydney
terry@discoverhomeloans.com.auTerryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Not sure of the relevance of a 1515.
The work you have done on the property will be regarded as a ‘cost of aquisition’. It won’t be depreciable, but will add to your cost base for CGT calculations down the track. Pity you couldn’t have rented the place out for 6 months – even at a low rent.
Scott
If you haven’t purchased a property this fin year, but have spent a fair amount of dollars setting up trust/company, on valuations, building reports, accountant fees, general expenses related to property searching etc. Are you still able to claim the expenses this fin year?
J.
thank you everyone for your comments. ill take it all on board ond decide what to do. Cheers.
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