Hi all,
I want to get depreciation reports done for my IPs, I have checked out some such as TaxShield.com.au, and quantitysurveyor.com.au, however they dont even come to checkout my properties? I'm not sure how it works, I thought they would need to come and inspect whats there, like equipment, common area stuff….
can someone tell me the process of getting a depreciation report?
and if someone has had good experience with one, can you mention them as well?
Thanks heaps
PropertySeekeryou should be able to get your accountant to do a depreciation report at tax time…….they should have a list of items that you can depreciate and it's a matter of estimating the value of each of those items. you should be able to do this with no inspection required………
i believe you can get a quantity surveyor to do this report instead if you wish.
Maybe ring your accountant and enquire with them…..Richard Taylor | Australia's leading private lender
Only a Quantity Surveyor can prepare a report for you and not your Accountant.
Try someone like "Depreciator" or Herron Todd White as they have a QS division.
Every time i have commissioned a report the QS has always visited the property.
Richard Taylor | Australia's leading private lender
As Richard has mentioned, it's best to get a QS to prepare your report. It is VERY unlikely that your accountant can optimally claim everything that can be written off.
I've never heard of a depreciation schedule being done from someone's desk, without visiting the property.
In addition to the firms outlined above, if you are in Sydney or Queensland, Mitchell Brandtman are a firm I've used twice and would recommend them.
PropertySeeker, if you are in Melbourne, PM me and I'll provide a bloke I have used here numerous times.
If it's a pre 85 built property, you may not need a QS. With older properties, the building itself is not able to be depreciated (unless renovated post 85). So the only depreciation will be in the Assets – fixtures and fittings. Under the Self Assessment provisons, taxpayers are allowed to estimate the value of the stove, carpet etc. There are usually only about 10 items in a typical rental property. You need to make sure the value you ascribe to them is not a 'new for old' value. It's sort of a second hand replacement value that you need to come up with.
For post 85 built properties (or older ones with renos) you need someone with the appropriate qualifications to be able to estimate the construction cost of the property at the time of construction.
ScottHi Property Seeker
We use http://www.washingtonbrown.com.au/ quantity surveyors. Once they have completed our depreciation schedules we then give them to our accountant. Washington Brown guarantee to:
- Inspect your property within two weeks of the appointment being made, anywhere in Australia.
- Provide your depreciation schedule FREE, if you don't save twice the fee in the first 12 months.
All the best!
Adrian and Amber Zenere
RealEstateDevelopmentClub.com | REDDreport | REDpodcasts | REDchannel | REDitunes
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