Are buyers agent fees tax deductible?

Discussion in 'Accounting & Tax' started by Systematic, 11th Nov, 2017.

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  1. Systematic

    Systematic Active Member

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    Hi,

    Just wondering if Buyer's agent fees are tax deductible with regards to buying an IP.

    Thank you
     
    Systematic, 11th Nov, 2017
    #1
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    No
     
    Terry_w, 11th Nov, 2017
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  3. Ross Forrester

    Ross Forrester Well-Known Member

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    No - it is a capital payment.
     
    Ross Forrester, 11th Nov, 2017
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  4. Propertunity

    Propertunity Well-Known Member

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    BA fees like lawyer fees in a RE transaction are tax advantaged though as they get added to the cost base and get taken into account on the sale of the property.
     
    Propertunity, 11th Nov, 2017
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  5. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    However, if you borrow the fee, the interest on same I believe is deductible - but seek tax advice

    ta
    rolf
     
    Rolf Latham, 11th Nov, 2017
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  6. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    A feE to find a rental agent may be deductible.
     
    Terry_w, 11th Nov, 2017
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  7. Mike A

    Mike A Well-Known Member

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    remember as well buyers agents fees will only be a second element costs where the buyers agency fees relate to the particular property purchased. If you pay a buyers agents fees to source properties and no sale is actually entered into the fees isnt deductible NOR is it a second element cost.

    agreed rolf the interest would be deductible as it is a capital cost of ownership. no different than stamp duty. so makes sense to me.
     
    Mike A, 12th Nov, 2017
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  8. Systematic

    Systematic Active Member

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    Thank you all
     
    Systematic, 12th Nov, 2017
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