All Topics / Legal & Accounting / Tax on repairs after flooding
Hi all,
Just after a quick heads up on this before i lodge my tax.
I recently had repairs done to an investment property after about 1ft of water went through it during the floods.
Here is a scope of the works carried out:
• Clean out wall cavities to all Units and Common Areas before
sheeting*.
• Disinfect floor tiles and wall tiles to first 2 rows of tiles to all
bathrooms*.
• Disinfect concrete* as required.
• Disinfect wall framing* as required”.
• Replace any loose skirting tiles, grout and make good to units as
required*. (include as PC item per tile including S&F tile, grout and
top seal to wall)
• Supply and Fit gyprock wall sheeting, set, prepare and paint to
make good to all Units and Common Areas as required.
• Remove hooks and nails from top wall sheeting, patch small holes
to sheeting ready for painting.
• Replace kitchens, re-using bench top, sink, tap ware, fittings,
handles etc.
• Replace wall sheeting behind kitchens as required*.
• Supply and Fit fire rated wall sheeting as per existing locations,
set, prepare and paint to make good to all Units and Common
areas as required.
• Supply and Fit insulation to fire walls to all areas as required.
• Supply and Fit Carpet to Units and Common Areas as required
(Commercial grade to common areas; domestic grade to units).
• Replace Vinyl to kitchen areas to all Units.
• Supply and Fit Skirting and architrave to match existing, prepare
and paint to make good to all Units and Common Areas as
required.
• Ease and Adjust all doors, prepare and paint to make good to all
Units and Common Areas as required. Include remove/ refit
pelmet as required. Does not include laundry tub doors.
• Refit sink, electrical, plumbing fixtures and wardrobe doors to all
Units as required.
• Commercial Final Clean to all units and common areas as
required including floor grates.
• Treat termite activity to units as required.
• Remove all trade related waste from site.
• Provide Certifier Certification for firewalls.
• Provide electrical and plumbing certificates if required.Carpets were also replaced i believe.
All up this cost me about 14k of my money.
Can i claim this all together as 1 lump sum under "repairs"? Or will this have to be broken down? What items would be depreciable? I've owned the unit since 2007, and have depreciated items before using a schedule. I am unsure of the cost of any individual items, just the gross amount. Could i just depreciate the carpet/vinyl using the old Depreciation schedule, but put in this years date?Any help or advice is appreciated.
Thanks,
MichaelThe ATO has put out some information regarding this. Have a look at this article: Has Your Rental Property been damaged or destroyed by a natural disaster?
http://www.ato.gov.au/content/00275211.htm
This should let some light on the subject for you.
You must be logged in to reply to this topic. If you don't have an account, you can register here.