Did you know that the BRICKS on your investment property actually influence the amount of tax depreciation you can claim?
… Wait, what!?!
Basically, Brad is going to walk you through the little-known legalities of depreciation – and how much you can really claim when the totality (and history!) of your investment property is considered. Handy hint: a LOT of investors are leaving money on the table when it comes to this!
Co-hosting today’s episode as part of our AweGuest Series, Brad Beer is THE expert you want to hear from when it comes to tax depreciation claims – to give you an idea, his company has completed almost 750,000 depreciation schedules for property investors… so let’s just say he knows more than the “ins and outs” of how to maximise the cash you can get back while still staying on the right side of the law!
A bit more about today’s co-host: Aside from working with BMT Tax Depreciation since 1998, Bradley Beer is also a member of the Australian Institute of Quantity Surveyors, the Royal Institute of Chartered Surveyors and the Auctioneers and Valuers Association of Australia, which means he contributes to the latest information within the quantity surveying and the property industry in Australia. His knowledge as both a quantity surveyor AND property investor means he is a highly sought-after speaker and regularly features in national events, conferences and the media to share his knowledge with the wider property investment community.
So. WHY can the cost of a brick get you more cash back???
Tune in now to find out, folks!
Free Stuff Mentioned
- Episode 117 | Everything You Need To Know About Depreciation Changes – Chat with Bradley Beer, CEO of BMT Tax Depreciation
- Episode 151 | Is Bitcoin a good investment and what are the Final Budget Changes on Tax Depreciation?
- BMT Tax Depreciation Schedule Application Form
- Leave a question for our AweGuest series here– if we answer it on the show you get FREE LIFETIME ACCESS to our Start & Build Online Course (valued at $497)!
- Episode 226 | Capital Gains Tax 101 with Julia Hartman – Everything You Need to Know About Property Tax (PART 1)
- Episode 228 | Ownership Structure & Trusts with Julia Hartman– Everything You Need to Know About Property Tax (PART 2)
- New Property Tax Accountancy:register your interest for a free appointment here
Hust a quick update on our NEW TAX SERVICE as well folks, the response rate had been really good! So Bryce has asked our Tax Accountants to free up their calendar and move things around so that we can help more of The Property Couch Community! So if you are on the hunt for a specialised property tax accountant, simple fill in the form below and we’ll get in touch with you very soon. 😉
10 Mission-Critical Answers You’ll Get…
- WHAT is property tax depreciation?
- WHY is it important for investors?
- WHO is a quantity surveyor and why do they get involved in providing depreciation schedules?
- … But doesn’t an accountant look after depreciation!?!
- Is it worth getting a depreciation schedule for OLDER properties?
- How do recent changes to legislation regarding plant and equipment found in second-hand residential properties affect investors?
- HOW does depreciation work when renovating?
- WHEN should an investor be thinking about property depreciation?
- What can an investor do if they have been missing out on depreciation deductions?
- Can they go back and get and missed deductions?
- How can an investor find out if getting a depreciation schedule completed will be WORTH IT?
- What is involved in preparing a tax depreciation schedule?
The Listener Questions We Answer
Question from Sharon Paterson on “Improvement or Repair” For A Leaking Hot Water Service
Hi Bryce and Ben, my name is Sharon, and I’ve been listening to your podcasts now for quite a few years and I love listening to them every week. My question is probably for Julia or for Brad –it’s in relation to replacing a hot water service. It was leaking so it had to be replaced, it wasn’t an improvement, and because the cost was nearly $1800, I am just wondering if that can be written off against my tax or do I have to depreciate it?
Question from Mick on “Improvement or Repair” For Replacing Cracked Tiles On Roof
Hi Brad, just a quick tax depreciation question from me. We have an investment property that’s getting on age a little bit now and has a concrete tile roof. Some of the tiles on this roof are cracked and need to be replaced, charge for facing is they are beyond repair and
we’re finding it difficult to source tiles to replace them with. Say the recommendation from our builder is to reroof the house with Colorbond… can we claim this as capital works or can we claim it as a repair? We’re hoping we can claim this as a repair because we’ve been told that the roof is not replaceable. Any advice would be appreciated. Cheers!
Question from Leonard on How To Choose A Quantity Surveyor
Hi my name is Leonard and I’ve got a question for Brad Beer. Hi Brad, how should investors go about choosing a quantity surveyor to work with? What can a good quantity surveyor do that a not so good one can’t? And if depreciation values are determined by a set of rules, isn’t the outcome going to be the same anyway regardless of who we work with? Is it just a matter of picking who provides the best price? Thank you very much and looking forward to your response.
Question from Leonard on Turning PPR Into A Rental
Hello everyone, my name is Leonard and I have a depreciation question for Brad here. We have a PPR which we have lived in for three years. We are the first occupiers as we
bought it new. Next year, on the 4th year, we will move out and turn our PPR into a rental property. I have 2 questions.
First, how many years of depreciation deductions do we have remaining on the property? Will it be 40 years starting from the time it became a rental? Or 37 years as the depreciation had already commenced when we lived in the property but it was just not claimable as a tax deduction?
Second question: will we still able to claim depreciation on the fixtures and fittings because the property is rented out for the first time?
Question from Kim on Overcapitalising?
Hi this is a question for Bradley Beer. Bradley, I wanna know, I often hear people overcapitalising on their investment or even their home property— is there a general rule you think clients should stay with for insuring that they don’t fall into this trap of overcapitalising? Thank you!