Tax Depreciation Explained
Property is an asset. In most cases, property will increase in value over time.
On the flip-side, building structure, furniture, fixtures and fittings age and loose their value over time through wear and tear. The amount by which these assets depreciate in value each year is calculated and provided in a tax depreciation schedule. This depreciation can be claimed as a tax deductible expense against your total annual earnings including salary and rent. This means your overall tax bill is reduced and you save on tax.
The Australian Tax Office has specified rules of how individual assets can be categorised and depreciated. A quantity surveyor has the skills to account for and categorise these assets then calculate the depreciation in compliance with ATO regulations.
Property investors that have not obtained a tax depreciation schedule are missing out on thousands in tax savings each year!
Commercial Property Depreciation
All commercial property used for income-producing activities are entitled to tax depreciation benefits.
Commercial property differ from residential property in the fact that each property has a different commercial use and are significantly larger with a wider variety of depreciable assets that can be accounted for.
Our professional team of quantity surveyors, together with our in-house proprietary calculator, have the expertise to conduct site inspections and produce quality tax depreciation schedules to maximise tax savings
Clients can be assured of a professional and efficient service.