End of Financial Year Property Tax Deductions

The end of the financial year is already upon us.

If you’ve planned well, then it should be quite straight forward. Remember, dealing with your accountant should always be an “investment” rather than an “expense”.

If you find yourself stressed out at tax time putting everything together, then it’s a great wake up call to get things in order now, so that next financial year isn’t quite as stressful.

One thing a good accountant should be doing is finding as many tax deductions as possible, so I thought once again today (as I always do this time of year), we’d go through a basic checklist you can take to your accountant to make sure you have the main bases covered.

An experienced accountant is invaluable, not just for compliance but also for maximising your returns and saving you money.

Think of it this way: if you needed a tooth extracted, would you attempt a fix yourself, or would you go to a dentist? The same principle should always apply to your finances.

Key areas to focus on with your accountant:

Interest on your investment property loan is typically tax-deductible. Ensure you have detailed records and understand the specifics.

If your property is new or recently renovated, you may be eligible for depreciation deductions on the building and its fixtures.

These include costs like advertising, property management fees, maintenance, repairs, water rates, and strata levies.

You can claim deductions for structural elements such as walls, roofs, and doors. This area can be complex, so professional advice is essential.

Both are generally deductible as part of your property’s running costs.

And remember to always consult with an accountant who is an expert in property investing to ensure you’re fully compliant with the Australian Taxation Office (ATO) and to maximise your allowable deductions.

Don’t know one, or have a “family accountant” who is a bit “old school”? Book a chat in my calendar and I’ll be happy to put you in touch with someone who can help.

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