Comments on: Tax time 2021 and tips for the new financial year

By: BMT Team

BMT Team — Thu, 26 Aug 2021 01:52:31 +0000

Hi Tom,

Thanks for your comment.

It would be best to discuss this with your accountant as they will be the one that applies the tax deductions to your annual tax lodgement.

If you do make capital improvements, you will be able to update your tax depreciation schedule to ensure these are claimed each financial year.

Thanks,
The BMT Team

By: Tom

Tom — Fri, 20 Aug 2021 22:22:16 +0000

Hi, I was wondering If I take out a separate investment loan for capital improvements on my investment property instead of extending the current investments loan whether or not the new loan’s interest would be tax deductible or not? Obviously, I would provide proof of repairs?
Cheers

By: BMT Team

BMT Team — Wed, 19 May 2021 03:43:38 +0000

Hi Raveen,

Thanks for your comment.

The stamp duty you paid to purchase your investment property is considered a capital expense. This means it’s not immediately tax deductible and will instead be included in the cost base of your property.

Thanks,
The BMT Team

By: Raveen Perera

Raveen Perera — Tue, 18 May 2021 09:22:36 +0000

Can you please explain if Stamp duty paid on an investment property is tax deductible? As per above, the stamp duty paid on the mortgage is a Borrowing expense which can be claimed but then it says they don’t include Stamp duty. Please clarify