Hello all,
Perhaps a silly question…
If you have a cashflow +ve property, can you still claim depreciation as usual?Thank you[wacko]
Yes.
Simon Macks
Residential and Commercial Finance Broker
***NODOC @ 7.15% to 70% LVR***
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0425 228 985Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.
Hi specific,
If you pay tax and the building is of a fairly recent age or you have enough depreciable items in the house (chattels) to make it worthwhile, then you probably should claim depreciation. Just remember you cannot claim back more tax than you pay out so depreciation has its limits just like negative gearing does.
I am guessing its probably not worth it for a lot of the little old cheapy houses because you would probably pay more for the depreciation schedule than you would get back in depreciation, especially if the buidling is too old to claim on and you just have to rely on chattels.
Todd Burns
http://www.freepropertyhelp.com.auHi Specific,
Depreciation is just another outgoing. It’s treated no differently from other costs (deductions) e.g council rates, water rates, management fees, interest payments etc.
Todd is right in saying that with older, unimproved properties the cost of getting a Tax Depreciation Schedule can sometimes not be justified. That’s why we ask clients a fair few questions before we go ahead. And it’s why we have a guarantee.
ScottTax Depreciation Schedules
Australia wide service
1300 660033
[email protected]
http://www.depreciator.com.au
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