can delivery fee be claimed?

Hi all,

We purchased quite a few items to furnish the rental property and they were mostly delivered to the property. Some have delivery fees listed in the invoice, some don't. How can we list the delivery fees in our depreciation schedule, do we include them in the cost of the items (sometimes one delivery fee for a few items delivered together)? What about the ones that were paid in cash and not invoiced?

Thanks in advance!

 

Furniture is usually a single line item, so just add the delivery fees in (or use the total at the bottom of your invoice). I won't talk too much about the latter question beyond saying that, if you are using a quantity surveyor for your depreciation schedule, we use (reasonable) costs we're provided with and they most often come in on a spreadsheet. I.e., we don't necessarily see most people's invoices anyway.

 

Under the capital allowances (depreciation) rules the cost of an item is its installed onsite cost. This can include the item, the GST paid, delivery and installation costs perhaps even truck hire. The delivery fee may need to be apportioned across each item.

Items paid for in cash and without an invoice arent eligible for any depreciation or deduction. And if they were acquired used/second hand a separate law prohibits depreciation even if you did have proof of the amount paid.

 

Thanks for your advice. I'm confused because since you don't need invoices in a depreciation schedule, why do we need invoices as proof then? Do we need to show these invoices for something else?

 

If you get audited they'll come in handy.

 

Thanks.