BMT Tax Depreciation Reports
Many investment property owners remain unaware of the benefits that tax depreciation provides. There are usually thousands of dollars to be claimed in depreciation deductions on any investment property. Generally the newer the property, the more deductions there are to be claimed. However, older properties still contain deductions and are worth enquiring about. Deductions can be claimed on both the building structure and the plant and equipment items contained within it.
BMT Tax Depreciation will:
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Visit the site and carry out a detailed inspection of the property including identifying, measuring and costing items/plant;
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Compile the necessary detailed records and photographs for future substantiation of the claim with the Australian Tax Office (ATO), observing Tax Ruling TR 97/25; and
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Examine all available documents associated with the property; determine the extent of their usefulness for the purpose of the claim, and have the report completed within 3-7 days after the site inspection.
What is in a BMT Tax Depreciation report?
A detailed document will then be prepared for the building and would include the following components:
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A method statement;
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Summary of Diminishing Value Method of Depreciation;
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Summary of Prime Cost Method of Depreciation;
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Detailed 40 year forecast table illustrating all depreciable items together with building write off for both Prime Cost and Diminishing Value methods;
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Comparative table of the two methods of depreciation;
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The report is pro-rata calculated for the first year of ownership based on the settlement date so that the accountant has the exact depreciation deductions for each year
The tax depreciation schedule provides the basis for claiming both Division 40 (plant and equipment) and Division 43 (capital allowance). BMT Tax Depreciation specialise in maximising the total depreciation available from a given property under current legislation.
Click here to find out the potential deductions you may be entitled to!