Driving in peak hour traffic, your eye on the petrol gauge, the dial tethering dangerously on that dreaded E, and that tiny red light that normally doesn’t turn on and talk to you, is now screaming at you consuming your every thought. Your thoughts bounce around like a tennis ball taking a beating during a tennis game. Your mind runs through the various scenarios of the car finally spluttering to a dead halt in some inopportune and embarrassing place. Interspersed with constantly chastising yourself over the fact you should have filled up when you were supposed to. So worrying, so annoying, all of which could’ve been avoided, making it a very stressful and unenjoyable driving experience.
For some, those very same anxious feelings can be felt right around this time of year, every year. Yes, it’s that time, “Tax Time”. The time of year, where if you are not prepared, can all of a sudden feel very much like a bad running out of petrol driving experience. All of which can be avoided through a little astute planning by yourself as a property investor.
Over the next few weeks we’ll be revealing our BMT step by step process on how you can relieve tax time stress with a little forward planning and arming yourself with need to know information. Making life easier for both you and your Accountant, and with the hope of saving you money, all of which to give you a personal feeling of peace and serenity around this time of year. And who’s not to say, you might even come to enjoy it, being prepared that is.
You did a depreciation assessment schedule for me last year this time. Am I right in saying that I would not require another schedule to be done for the same property? That the original schedule will be used for the rest of the life of the property?
Regards
Hi Mark,
That’s absolutely correct; the tax depreciation schedule done for that property will last for its life time. Though, if you’ve done renovations to your property you’re going to need an updated schedule to show those costs and any new depreciation claims.
For example; If you’ve replaced something like a Hot Water system, you can do what’s called “Scrapping”, where you can claim the total residual value of the Hot Water system (the cost of the Hot Water system less any depreciation already claimed). You can then begin to claim the depreciation costs of the new system.
If it’s only one item, your Accountant should be able to update your schedule for you. Depending on your schedule, for one item we’ll update your schedule for free. If it’s more than one item and you want the changes shown all in the one report, we’ll be able to update your schedule for a small fee.
Hope this helps, and you were able to put your savings to good use. If there is anything else you need help with, please let us know.
Have a great day.