Hello
I purchased an investment property on 9 July 2010.
I was looking to obtain a depreciation schedule on the property, but an accountant advise I may have to wait until the next financial year to be able to obtain the deductions. Is this correct? I have to complete a monthly IAS for the tax office, so could this possibly prevent me from submitting the PAYG withholding variation form that I believe is usually used to obtain the tax benefit now rather than waiting?
Thanks.
harrip wrote:Hello I purchased an investment property on 9 July 2010.Congrats!
harrip wrote:I was looking to obtain a depreciation schedule on the property, but an accountant advise I may have to wait until the next financial year to be able to obtain the deductions. Is this correct?No, you will be able to claim deductions in the 2010/2011 financial year.
harrip wrote:I have to complete a monthly IAS for the tax office, so could this possibly prevent me from submitting the PAYG withholding variation form that I believe is usually used to obtain the tax benefit now rather than waiting? Thanks.No that won't prevent you – do it now (do both now
)harrip wrote:Hello I purchased an investment property on 9 July 2010. I was looking to obtain a depreciation schedule on the property, but an accountant advise I may have to wait until the next financial year to be able to obtain the deductions.
Is this correct?Yes because you missed out on last financial year 30/06/2010 anything after this date is claimed after 30/06/2011
You are waiting for next tax return lodgement after 30/06/2011 for the time 1/07/2010 thru to 30/06/2011harrip wrote:I have to complete a monthly IAS for the tax office, so could this possibly prevent me from submitting the PAYG withholding variation form that I believe is usually used to obtain the tax benefit now rather than waiting? Thanks.This depends on if the new purchased property expenses exceed rental income and if this loss is greater than the extra income you are earning now. As an IAS usually occurs if you earn more income that is not PAYE.
You have to work out the overall non PAYE income – new property loss = 0 or < 0
If you make an overall loss you can offset against wage then you would be able to vary tax.
May have to wait till tax return done to figure this out with ATO.Just wanted to know if this still holds true.
http://propertyinvestmentwise.com.au/backdating-depreciation-claims/
I think that article is regarding those who have owned properties and never claimed the depreciation. If they get one done now the can amend tax returns up to 4 years ago to claim the depreciation they missed out on.
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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