How we maximise your depreciation deduction
- Taking full advantage of the highest depreciation rates available and Low Value Pooling enabling assets to be fully depreciated in the shortest possible timeframe
- Providing a Schedule that lasts the life of the property (40 years)
- Drawing upon our extensive experience and industry knowledge
- Accessing our enormous database of historical information on construction costs
- Combining all of the above with the fastest turnaround times
Terminology
- The Tax Depreciation and Capital Allowances Schedule goes by many names including Quantity Surveyors Report (QSR), QS Report, Tax Depreciation Schedule, Tax Depreciation Report and Investment Property Schedule.
The Director of this firm is recognised by the AIQS as a Certified Quantity Surveyor which represents the highest level of expertise within the Quantity Surveying profession.
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TAX DEPRECIATION AND CAPITAL ALLOWANCES
Progressively during the 1980s the Australian Government introduced legislation enabling investment property owners to claim tax deductions for Tax Depreciation and Capital Allowances against their income producing properties.
Deductions for Tax Depreciation and Capital Allowances are divided into two categories; building depreciation and plant and equipment (asset) depreciation.
Building depreciation is a flat 2.5% deduction per annum of the original construction cost of the property for each year of ownership. This percentage can rise to 4% per annum depending on the type of property and when it was built.
Plant and equipment (asset) depreciation covers items such as carpets, blinds, curtains, appliances, hot water systems, etc which attract higher rates of depreciation. Note, Legislative changes introduced on 9 May 2017 limited plant and equipment depreciation to the investor who first acquired the plant and equipment.
The Australian Taxation Office (ATO) acknowledges that the estimation of the original construction cost, that forms the basis of a Tax Depreciation and Capital Allowances Schedule, requires an “appropriately qualified” professional educated and experienced in the skill of construction cost estimating.
The ATO Legislation recognizes that Quantity Surveyors are appropriately qualified professionals. It is important to note that ATO Legislation also notes that property valuers, real estate agents and accountants “generally have neither the relevant qualifications nor the experience to make such an estimate.”
Redline Quantity Surveyors are specialists in Tax Depreciation and Capital Allowances. We will research your property, record all the depreciable assets contained therein, prepare an estimate of the original construction cost and present all this in a fully legible and easy to understand Schedule outlining all your depreciation entitlements.
To view a quick presentation on Tax Depreciation and Capital Allowances, please click here
Testimonials
Latest News
22 Aug 2017 2:57 PMCertified Quantity Surveyor (CQS)A Certified Quantity Surveyor represents the highest level of expertise within the profession, providing exemplary service and advice to clientsMore...Simon HanauRedline Quantity Surveyors Pty Ltd
1 Aug 2017 4:56 PMHousing Tax Integrity – Limiting Depreciation Deductions – What Have We Learned?Bullet point summary of what we know thus farMore...Simon HanauRedline Quantity Surveyors Pty LtdHow we maximise your depreciation deduction
- Taking full advantage of the highest depreciation rates available and Low Value Pooling enabling assets to be fully depreciated in the shortest possible timeframe
- Providing a Schedule that lasts the life of the property (40 years)
- Drawing upon our extensive experience and industry knowledge
- Accessing our enormous database of historical information on construction costs
- Combining all of the above with the fastest turnaround times
Terminology
- The Tax Depreciation and Capital Allowances Schedule goes by many names including Quantity Surveyors Report (QSR), QS Report, Tax Depreciation Schedule, Tax Depreciation Report and Investment Property Schedule.
The Director of this firm is recognised by the AIQS as a Certified Quantity Surveyor which represents the highest level of expertise within the Quantity Surveying profession.
View Website