Hi guys,
I've been reading in the magazine that before you do any renovation to your IP, having depreciation table before you throw anything out, and have another depreciation table after you have done your renovation.
Was wondering, is it worth it doing that by paying quantity surveyor twice?
Thanks.
Nue1
You wouldn't pay a quantity surveyor twice. The first report is called a scrapping report, where they tally up items like old ovens, benchtops, floor coverings, blinds, baths, vanities etc and determine if there is any residual value that remains. The total of the value of items removed. This normally only costs around 100 dollars. I'm 95 percent sure BMT do it for around that price.
The 2nd part of the report is called the depreciation schedule on the new renovations. Say 650 iish: total 750 as a guide
Also oyu can have a scrapping report generated from the past. Ie if you take lots of photos of all the rooms and basically list everything you chucked out they can calculate one up for you even if you have now finished the renovation.
Hi Wilko,
Thanks for your input, I've never heard of scrapping report though.
Will browse around for quote.
Thanks.
Regards,
Nue1
Anyone can advise how long the depreciation schedule will last?
I mean if I ask QS to check my property in Feb-14 (for FY 2013-2014), and my accountant is doing my 13/14 tax return in Apr-15.
Is this depreciation schedule report can still be used for my 13/14 tax return?
Thanks.
It should last for the duration of the property's depreciable lifetime. So on a
Brand new property can be 40 years.
It usually has the amount you can claim
in a table on each year ie year 1 (from year 2012-2013 – $5,000
year 2 – 2013/14 – $4800
etc etc
My schedules are calculated for 20 years. Most things are written off in less than that time. Plus not many people have a property for 20 years without some major reno work. Most companies will update it also.
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