Join Australia's most dynamic and respected property investment community

Concrete asbestos roof tile restorations

Discussion in 'Repairs & Maintenance' started by Bran, 13th Mar, 2016.

Tags:
  1. Bran

    Bran Well-Known Member

    Joined:
    20th Jun, 2015
    Posts:
    3,213
    Location:
    At work
    There are a few mobs on the interslice that will apply an epoxy resin to bind deteriorating asbestos tiles, and then paint over the top as an alternative to replacement. This looks like a great option to me... 10 year warranty! I'm waiting for a quote, but does anyone have any experience with this?

    e.g. these guys: Asbestos Cement (Fibro) - ReStyle
     
    Taku Ekanayake likes this.
  2. Taku Ekanayake

    Taku Ekanayake Well-Known Member

    Joined:
    23rd Jun, 2015
    Posts:
    756
    Location:
    Sydney, Australia
    I'd be interested in what your quote comes back as @Bran. I'm currently looking at a potential property with deteriorating asbestos roof.
    Please keep us posted!
     
    Bran likes this.
  3. Gockie

    Gockie I'm an ISTP-A female, so I might be a bit quirky! Premium Member

    Joined:
    18th Jun, 2015
    Posts:
    4,898
    Location:
    Sydney
    No idea but i'd like to know the cost too.
     
  4. Bran

    Bran Well-Known Member

    Joined:
    20th Jun, 2015
    Posts:
    3,213
    Location:
    At work
    $3500 @Gockie @Taku Ekanayake

    This includes some minor repairs and sealing
    2x coats epoxy resin
    2x coats paint
     
  5. Depreciator

    Depreciator Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    722
    Location:
    Sydney
    Painting a previously unpainted surface would normally be Capital i.e. 2.5%.
    Given the enthusiasm the government has for containing asbestos, I reckon there might be a chance of claiming this immediately - much better to get that $3,500 in one go as opposed to at $87.50 per year. It would probably need a Private Ruling, but this is a very easy thing to do. The key is to write in the ruling application that the work is being undertaken to make safe deteriorating asbestos.

    Scott
     
    Bran likes this.
  6. Paul@PFI

    Paul@PFI Tax Accounting + SMSF Business Member

    Joined:
    18th Jun, 2015
    Posts:
    2,362
    Location:
    Sydney
    S.T likes this.
  7. Bran

    Bran Well-Known Member

    Joined:
    20th Jun, 2015
    Posts:
    3,213
    Location:
    At work
    This is the case. It's flaking and deteriorating
     
  8. wylie

    wylie Moderator Staff Member

    Joined:
    18th Jun, 2015
    Posts:
    2,923
    Location:
    Brisbane
    That is $3.5k in your pocket if you just leave it alone, especially seeing you may bulldoze it one day. I don't think it is worth doing.
     
  9. Depreciator

    Depreciator Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    722
    Location:
    Sydney
    Flaking and deteriorating is good - well, good from a tax perspective but not so good if you're in the immediate vicinity. If the property is a new acquisition, claiming the paint job could be seen as 'initial repairs' i.e. not deductible. But the fact that it's asbestos means there might be some wriggle room. That's why a PR might be the go.. This is all just my opinion, of course.
     
  10. Gockie

    Gockie I'm an ISTP-A female, so I might be a bit quirky! Premium Member

    Joined:
    18th Jun, 2015
    Posts:
    4,898
    Location:
    Sydney
    ?PR?
     
  11. Bargain Hunter

    Bargain Hunter Well-Known Member

    Joined:
    21st Jun, 2015
    Posts:
    128
    Location:
    Western Sydney
    Private ruling from ATO
     
  12. Scott No Mates

    Scott No Mates Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    5,551
    Location:
    Sydney or NSW or Australia
    You will need to find out more about what they do to prepare the surface - friable asbestos is a big no no due to loose fibres. Removal of all loose and broken materials will probably be the best route. I feel a heap of variations coming on.
     
  13. wylie

    wylie Moderator Staff Member

    Joined:
    18th Jun, 2015
    Posts:
    2,923
    Location:
    Brisbane
    First thing is to see if the flaking is actually flaking asbestos or just the old paint. Looked like paint to me but closer inspection would help. If the asbestos looks undamaged (and looking up through the manhole it looked in good condition) then I would leave it alone for now.

    I'm all for safety but I would find out for sure how sound it is before spending money on something that is only a visual "ugly" and not a safety issue.

    If it is asbestos (and not just paint) flaking and fibres are floating about then I would get it replaced or sealed. When we have removed asbestos we were allowed to write it off in one year and I think we were able to claim the replacement resheeting differently than otherwise would be treated (but I'm not certain - accountant would confirm).
     
    Bran likes this.
  14. Bran

    Bran Well-Known Member

    Joined:
    20th Jun, 2015
    Posts:
    3,213
    Location:
    At work
    How does one get a PR?
     
  15. Bran

    Bran Well-Known Member

    Joined:
    20th Jun, 2015
    Posts:
    3,213
    Location:
    At work

    The crux of the treatment is the 'restoration' or binding of the fibres with the epoxy resin. The resin then makes it able to be painted, that's all. There is a small leak so I think it needs to be done. If I can swing an immediate deduction in the name of safety, it would seem worth pursuing
     
  16. wylie

    wylie Moderator Staff Member

    Joined:
    18th Jun, 2015
    Posts:
    2,923
    Location:
    Brisbane
    I always thought my accountant would organise this if we needed one?
     
  17. Depreciator

    Depreciator Moderator Staff Member

    Joined:
    15th Jun, 2015
    Posts:
    722
    Location:
    Sydney
    A Private Ruling is very easy to apply for. You download a form, fill it in, and fax it off. Yes, fax. Remember fax machines?
    Someone from the ATO then often calls for a chat to clarify things. Then a few weeks later, they send you the PR. it only a applies to the person making the application.
    I have done it a few times for clients when they have posed interesting questions. They're not always depreciation related, but I'm often curious. I just write the PR as if it's my issue I want clarified.
     
  18. Azazel

    Azazel Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    8,113
    Location:
    Brisbane
    How do you work out if they're asbestos tiles?
     
  19. Bran

    Bran Well-Known Member

    Joined:
    20th Jun, 2015
    Posts:
    3,213
    Location:
    At work
    It's really obvious on the roof, and common in that era and dwelling type. You really can't miss it. I thought the whole place was until a learned friend knocked on the walls and said, nah, that's MDF. We found a hole and he was right. I took some hooks out of the bathroom walls, and that wasn't MDF.
     
  20. Azazel

    Azazel Well-Known Member

    Joined:
    18th Jun, 2015
    Posts:
    8,113
    Location:
    Brisbane
    Yeah, I went through one with the B&P guy and he showed the difference, there was some in there. But some was not mdf, not plasterboard. Do you have some internally?
    I probably should get someone to look at the roof.