It is that time of the year again, to get all your documents prepared and ready for your accountant to lodge your annual income tax return.
Here are a few of our top tax tips to ensure you’re all ready.
Tip #1: Understanding what you can and can’t claim.
The simplest way to maximise your tax refund is to have an understanding of what is and isn’t deductable, and more importantly keeping a clear and concise record of these expenses.
- Rental Advertising Costs
- Loan Interest
- Council and Water Rates
- Land Tax
- Strata Fee’s
- Building Depreciation*
- Appliance Depreciation
- Repairs and Maintenance
- Pest Control
- Renovations or improvements on the property*
**Some of these items are not eligible for an outright tax deduction but may be depreciated over a period of time.
Tip #2: Get the claims correct with your new investment property.
Have you purchased a new investment property this financial year? Our biggest tip is getting everything in order and correct from the start to ensure you are organised for tax time. Provide your accountant with the following documentation:
- Purchase settlement statement
- The loan documentation, including loan establishment fees.
- Copy of depreciation schedule.
Even an older property may have depreciation benefits available when you initially purchase it as many of the items inside the property are valued at market value on the date of purchase for depreciation purposes.
Tip #3: Interstate Investors
if you have an investment property in other states or regions, you can also claim the travelling costs to inspect your property (ensure you apportion any personal component). These
At Reliance Real Estate, we believe in providing our landlords and investors a seamless end of financial year. Choose Reliance Property Management to handling all the accounting for your property meaning on July 1st you will have access to all your yearly reporting and invoices in one place. We can also assist in arranging depreciation reports with certified suppliers.
Disclaimer: All information is general in nature and it is advised you speak to a licensed accountant or wealth manager to evaluate your specific needs.