A depreciation schedule is a comprehensive report that details the depreciation deductions that can be claimed by every investment property owner on the properties building structure (if applicable) and most of the fixtures and fittings within it. A specialist quantity surveyor firm is one of the best ways that you can maximise the cash return from your investment property each financial year, through a depreciation schedule. Perth’s SD Depreciation is an expert in this field and can provide a professional service that is fully compliant.
Both older and new properties are eligible for depreciation deductions but the building on the property must have begun after the 18th of July 1985 to qualify for tax depreciation deductions on the building structure. It should be noted that many properties built prior to this date have undergone some renovations or improvements that will allow them to qualify for deductions. All plant and equipment will qualify regardless of their age and these factors are definitely worth bearing in mind when deciding whether to invest in a depreciation schedule. Perth property owners and those who have invested in plant and equipment should always check whether they are eligible for a depreciation deduction to save losing out on a valuable rebate.
The ATO determines the maximum effective life of a residential building as 40 years, which is the same length our report lasts for. However, some tax depreciation schedules will not last this long, but the SD Depreciation report will still show the depreciation deductions from the settlement date right through to 40 years from settlement.