Team,
In “The Book’ Steve advises that he doesn’t account for tax deductions when considering a postively geared property – he suggestes that if they are available they are a bonus – sound advice I think! What is your experience here? – my observation is that (whilst I still haven’t found a suitable property) those that get close to the 11 second rule are well outside the post ’87 construction period that woulkd allow the 2.5% deductible allowed by the ATO for building dep’n (but would qualify for dep’n on fittings and fixtures).
I’m not wanting to put the kybosh on tax deductions rather I’m trying to adjust my expectations based upon real life experiences of those that have gone where I am yet (but hope) to go.
Regards,
kaybeesee
Kaybeesee
You could still get a quantity surveyor in and claim depreciation of fittings such as carpet, hotwater system, ovens etc. I have a few really old properties (built 60s and 70s) so haven’t bothered myself, but it may be worthwhile depending on the quality of the fittings.
You can also claim travel expenses, borrowing expenses (ove 5 years) etc.
Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
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