Have you been scrutinising your Depreciation & Asset Registers?
Now that we are in the world of hold and manage assets, it’s probably time to stop making do and get engaged!
It is a regular occurrence and easy thing to simply adopt the vendor’s depreciation schedule. Tax law allows a purchaser to apportion values to all depreciating assets they acquire, i.e. air conditioning, lifts, carpet, chattels, etc. to reflect the cost of the asset as acquired by the purchaser. In a rising market this may even represent a value that is more than its original replacement cost.
On a recent assessment of a property that was acquired by a client for around $15million, the apportioned value of depreciable plant was a staggering $4million more than the vendor’s written down value. The tax sheltered amount increased $3million in the first 10 years of ownership. Assuming a tax rate of 30%, the increased cash value in the first year alone was $220,000 with the ten year tax deferral being $1.8million. Continue reading
End of Year Investment Property Tax List
Let us assist you with depreciation tax deductions on your investment property and we will guarantee a happy new financial year for you.
Why pay too much tax ? and improve your cash flow at the same time, it’s a no brainer !
It’s the end of financial year again and if you own investment property, you should claim the available depreciation and building allowance deductions.
If you are not sure what to claim we will assist you, no matter how large or small your investment property is, we have analysed every type of property and can guarantee that we will generate significant tax saving for you and that the payback on our fees will be very short and maybe only a matter of months. Continue reading
