A Tax Depreciation Schedule unsurprisingly springs to mind as it’s 100% deductible in the year the cost is incurred.
Can bank interest be pre paid in all cases? Or does it only apply to fixed loans? I’ve heard conflicting reports.
Obviously items costing less than $300 and paid for by June 30 can be written-off in full. Items costing between $300 and $1,000 go into the Low Value pool and are depreciated at 18.75% in the first part year (even if that part is only a week).
What else are people planning to do in the next couple of weeks?
Scott
Originally posted by depreciator:A Tax Depreciation Schedule unsurprisingly springs to mind as it’s 100% deductible in the year the cost is incurred.
Un-suprisingly [biggrin][biggrin]
Mine are done and up to date Scott
REDWING
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorThere must be some other things all you savvy investors out there are planning prior to June 30?
Deductions can be made for-
Answering machines, pagers, mobile phones, books and trade journals, calculators, electronic organisers, PDA’s, software, stationery and tools of the trade.
Those with ‘home offices’ can also claim the costs of cleaning, heating, cooling, lighting and telephones to name a few..REDWING
I’m looking at pre-payment of 12months on IP in the wifes name, as shes due Maternity leave soon
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorInvestment Books…
Repairs for some IPs..
I think to prepay interest on loans that are not fixed, you have to fix them for the year anyway. We’ve just asked the bank manager about the ones we want to do – but generally have to start in April to make sure they don’t stuff it up on us as they have before[baaa]
Cheers
MelAnd what about those little Garden Gnomes? Don’t forget them!
Brendon
Acute Mortgage Reductions
http://www.acutemr.com.au
[email protected]Guard Gnomes you mean…[biggrin]
REDWING
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow CalculatorThere are 1yr interest only in advance products that you can get that people are doing before 30th of June. The product is generally fixed for that year as well but all interest is paid upfront until the following year, no interest is payable. This is also being used as a tax strategy too for investment properties. However, to re-finance and settle in less than 15 days….could be impossible!
My IO loans fixed and paid monthly in arrears..can’t change without costs or different rate to pre-pay 1 yr in advance..
lesson learnt here..
Y
Hi all,
Just made the last payment on youngest daughters braces so that the total bill fell inside one financial year – takes us over the $1500 medical expenses threshold and provides a 20% rebate after the threshold is reached.
Have also paid a few bills (body corporate, phone bills etc) in this financial year as the new tax scales come into play on July 1 and my deduction is ‘bigger’ this financial year than it will be next year.
Prepaid airfares for an ‘inspection’ visit for the same reason as the previous paragraph.
Derek
[email protected]Property Investment Support Available. Ongoing and never stopping. PM welcome.
How about booking in for SMcN’s course before j30 even though it’s in July ?
My work had a couple of financial advisers in yesterday and they were suggesting putting some money into an ATO-approved managed investment scheme in the ag industry. In this case, trees for woodchipping near Esperance in WA.
Supposedly 100% deductible up front with no CGT on maturity (not sure how that works). Independant return projections of around 9%pa (they said about 14% when the lack of CGT is taken into consideration) but money locked away for 10 years.
The latter put me off, but I wonder how good an investment these MIS’s really are.
GP
Here’s an interesting article on agribusiness:
http://www.smh.com.au/articles/2004/06/25/1088144975614.html
Originally posted by The Mortgage Adviser:If there is a fire or an extended drought, your yield is gone
I haven’t read the PDS, but they did mention that it was insured for fire and a few other things. Still, I’m not sure how that would affect returns.
How do you know anyone will actually want those trees in ten years or pay the big dollars for them?Obviously you don’t, but that’s why they included the (allegedly) independant report with return forecasts (which I haven’t read either).
GP
Mumarina,
Thanks for the article link. I’ve passed it on to a few of the others who are considering this investment.
GP
I paid rates year in advance on IP”s !!
REDWING
“Money is a currency, like electricity and it requires momentum to make it Effective”
Count The Currency With This Online Positive Cashflow Calculatordepreciator- I’m freaking!!
Do you mean i need my QS reports done by 30th June to claim for last year’s purchases? I really need the deductions for this past financial year, as I have a CGT bill, and need to reduce it.
Am I able to get QS’s done in the next couple of weeks before I get my tax done and still claim?
Thanks in advance
kay henry
No Kay, you just would have had to have paid for it by June 30 to claim the cost on your 2004 return. We had well over 100 people paying for schedules Tueday and Wednesday this week. The report itself can be done anytime. Right now, we’re working on a 3 week turnaround time providing there are no access issues.
ScottI still haven’t done the depreciation schedule for 2 of my IPs. I tried to do it by 30 of June to no successful.
Oh well, I just have to do it slowly now…
Kind regards
Jet Dollars
[Retire Young, Retire Riches] [strum]
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