We are in the process of purchasing our first investment property, and we are wondering if the invoice of building inspection & buyer agent fee should be fine for tax return. Or do we have to ask for the receipt?
Thanks in advance!
Buyers agent fees are not deductible, neither are building inspection costs. Both are capital expenses.
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
As Terry has mentioned, not immediately tax deductible. If you ever sell the property these costs are factored in when determining the capital gain and thus the capital gains tax payable. Stamp duty and legal fees are also in this category.
Jacqui Middleton | Middleton Buyers Advocates
http://www.middletonbuyersadvocates.com.au
Email Me | Phone MeVIC Buyers' Agents for investors, home buyers & SMSFs.
However any costs incurred as a result of the financing of the property such as LMI, Bank application fees etc or legal fees charged for proving advice in relation to the mortgage documents are deductible.
Be surprised how many buyers do not claim these costs. Course they have to be claimed over the correct term.
Cheers
Yours in Finance
0-40 properties in a decade. Ask me how.Richard Taylor | Australia's leading private lender
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