Comments on: Should you include utilities for a rental property?

By: The BMT Team

The BMT Team — Mon, 09 May 2022 00:40:46 +0000

Hi Cynthia,

Thanks for your comment.

We are only qualified to provide information directly related to depreciation. We are unfortunately unable to give any advice regarding this specific scenario.

We recommend discussing your options with your property manager (if you have one) or asking the landlord directly to provide you with further clarity. Another option if you are not satisfied with the outcome and wish to take it further, could be to seek advice from an administrative tribunal.

Thanks,
The BMT Team

By: Cynthia V

Cynthia V — Wed, 20 Apr 2022 15:12:38 +0000

I live in a strata unit and my landlord insists on all utility bills being in his name, but I have to reimburse him for all of them in full (except for water, I just pay usage, not rates). He doesn’t seem interested in helping me determine if there is an electrical fault (my last electricity bill almost tripled with no explanation). Is this likely because he is in fact claiming my electricity bill payments on tax? I do not get receipts for bill payments and I am unsure of how it could be legal for me to be paying so much for electricity yet he gets to claim the money I am paying on tax..

By: BMT Team

BMT Team — Thu, 21 Oct 2021 22:03:57 +0000

Hi David,

Thanks for your comment.

If the landlord is the one who is paying for the electricity, then they have the right to claim it as a tax deduction. However, if they are passing this fee onto the tenants and receiving income for it specifically in the rent, the landlord cannot claim the deduction as they are not out of pocket for the expense to enable a claim.
Generally, only usage is passed on and supply charges paid by landlord in which case these supply charges could be claimed by them. If there is a difference between the amount added to rent and the usage that has to be covered by the landlord, this also can be claimed.

Thanks,
The BMT Team

By: David

David — Fri, 15 Oct 2021 07:54:41 +0000

So just wondering about the electricity deduction here, saying that if the property is letted to multiple young professionals. For ease of management, the landlord charges rent that include utilities to each renter, and the electricity fee is under landlord’s name and is being paid by landlord, wouldn’t ATO see this as double claim when landlord is claiming the electricity while the renters are also claiming electricity if is working from home? So just wondering how that works?

By: BMT Team

BMT Team — Wed, 02 Oct 2019 06:12:08 +0000

Hi Stephen,

In regard to the window question, it will depend on the age of the property and if any other renovations have been completed since it was built.
We do have an office in Canberra. You can find the details here: https://www.bmtqs.com.au/contact-us/canberra.

Thanks,
BMT Team

By: BMT Team

BMT Team — Thu, 19 Sep 2019 01:45:35 +0000

Hi Peter,

We’d recommend contacting one of our staff by calling 1300 728 726 or requesting a quote online (https://www.bmtqs.com.au/apply-online).
Alternatively, we can get our staff to contact you via email.

Thanks,
BMT Team

By: Stephen Oquist

Stephen Oquist — Wed, 18 Sep 2019 07:20:03 +0000

If we purchase a rental property in the ACT and all the previous landlord has recently replaced all the windows. Can you claim depreciation. also do you have an office in the ACT

By: Peter Baillie

Peter Baillie — Wed, 18 Sep 2019 02:24:45 +0000

You raise an interesting issue, especially where a solar (both Electricity & Hot water) is included in the rental. Also where a battery storage pack is included with the solar electricity. This provides significant benefit to the tenant, but I am unsure how it should be handled for tax purposes. The depreciation on the asst value of the items is straight forward, but is there any further deductibility for the usage component.

Many thanks