Architect fees as a tax write off?

Viewing 6 posts - 1 through 6 (of 6 total)

tuggerwaugh
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@tuggerwaugh
Join Date: 2007
Post Count: 192
March 3, 2012 - 9:59 am
G’day all,
Just a quick question.. we had a unit designed by an architect at a cost of around $15,000 which we built 2 years ago. For the first year we lived in it for the FHOG, however we have now had it rented out for the past 8 months. I just want to know whether we can claim the architect fees as a tax write off come tax time. We will have a depreciation schedule done on it but I was hoping the architect fees and general building and council fees could also be deducted. Any help would be appreciated. Cheers
tugger
Terryw
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@terryw
Join Date: 2001
Post Count: 16,213
March 3, 2012 - 10:09 am
I imagine that would be a capital expense and could be deductible against any capital gain/loss
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
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Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
tuggerwaugh
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@tuggerwaugh
Join Date: 2007
Post Count: 192
March 3, 2012 - 10:15 am
G’day Terry,
Thats what I thought originally but then I heard from a friend that he thought it could possibly be added to the value of the house and depreciated over the 40 years… I really have no idea and the few people I have spoken to aren’t quite sure either. Hoping someone with a tax background can give me the right answer. Cheers
tugger
Terryw
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@terryw
Join Date: 2001
Post Count: 16,213
March 3, 2012 - 10:22 pm
I guess that would be the case if you are buying a new house – the architect fees would be built into the construction price. And that is how i claimed one actually as part of the cost of constuction.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email Me
Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
WomeninPropMelb
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@womeninpropmelb
Join Date: 2008
Post Count: 234
March 3, 2012 - 10:25 pm
Im with Terry- its more like a capital expense and will make a difference when there is a capital loss/gain. I’d suggest you speak to an accountant- if you’ve had a Quantity Survey done- they will get you the MOST you can deduct. Dont make it too complicated for yourself. Most Quantity Surveyors will give you your money back of they dont find more than the value of the survey so there is no risk to you.
Scott No Mates
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@scott-no-mates
Join Date: 2005
Post Count: 3,856
March 4, 2012 - 3:02 am
Unless the design was exceptionally poor you wouldn’t be able to write them off