The federal government provides tax incentives for people who purchase new buildings. You are allowed to depreciate the total cost to build your home at 2.5% per annun for 40 years. You can also depreciate the fixtures and fittings (carpet, light fittings, bench tops, toilet etc.), which have a couple of methods of depreciation. The most popular in the diminishing value method.
All different fixture and fittings have different rates of depreciation.
A licensed quantity surveyor can inspect your property and complete a depreciation schedule for you. They will list all depreciate items, and what their deductions are each year for the next 40 years. This schedule can be provide to your accountant to include in each year’s tax return.
A licensed quantity surveyor can inspect your property and complete a depreciation schedule for you. They will list all depreciate items, and what their deductions are each year for the next 40 years. This schedule can be provide to your accountant to include in each year’s tax return.