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Depreciation claims

Discussion in 'General Property Chat' started by annaw5599, 27th Mar, 2016.

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  1. annaw5599

    annaw5599 Active Member

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    Just looking at an IP built in 2010... I'm wondering how significant depreciation claims will be for a property a few years old ...?? I know best claims are with in first few years from brand new ....
     
  2. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    It will be significant. Well worth getting a report done.
     
  3. JameZ

    JameZ Active Member

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    Varies depends on whether it is a house/apartment etc. 10-15k wouldn't be out of the question just in the first year.

    Depreciation reports typically costs around 700 and lasts 20+ years, you make more than the cost of it back in tax deductions after just the first year, even significantly older property... let alone one that is only 6 years old.
     
    Leo2413 likes this.
  4. tavinium

    tavinium Well-Known Member

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  5. Adrian Fisher

    Adrian Fisher New Member

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    I agree, Chat to BMT they are good in that they do it all for you and won't do it unless they can show you benefits. e.g. if it's too expensive to have the report done and you won't be able to claim back significant savings then they won't do it. I use them on all my properties. There are cheaper companies out there, but you have to do all the work yourself. Thanks Adrian
     
  6. Jacob1

    Jacob1 Member

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    Hi Anna, if you're still looking to get a depreciation schedule let me know as we refer a lot of business to quantity surveyors and get great discounts. $300 + GST if they can get away without having to do a site visit.

    Or if you give me an idea of what kind of property and how much it was originally I can give you a rough estimate.

    Thanks,
     
  7. Mumbai

    Mumbai Well-Known Member

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  8. trinity168

    trinity168 Well-Known Member

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  9. samiam

    samiam Well-Known Member

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    our previous ppor now ip was brand-new when we bought in 2010, we moved out in 2013; we didnt know about buying depreciation reports and our our accountant did depreciation for us since then :eek:. should we buy the report now or keep continuing with what our accountant did for us?? we have a long term relationship with our accountant & she has been good
     
  10. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    How would she have known the value of items?
     
  11. skater

    skater Capitalist Premium Member

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    I have used BMT, but I was far from impressed. I have also used Depreciator, and been very impressed. I know which one I'd use.
     
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  12. samiam

    samiam Well-Known Member

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    we were asked to provide all the items and prices so we did :eek::eek: :mad::mad:
    is it too late to buy depreciation package now after 2 years?? :(
     
  13. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    I am not sure, but there is probably a few things your accountant has missed and also their estimates may be wildly inaccurate. You may be able to amend tax returns, but first speak to Depreciator or BMT and see whether they think you should get a proper report done.
     
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  14. bread_boy

    bread_boy Well-Known Member

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    Hi Skater,

    What was the main difference between the 2?
     
  15. ross100

    ross100 Well-Known Member

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    I have used BMT and was happy with them.
     
  16. skater

    skater Capitalist Premium Member

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    It's not something I'm happy to discuss on a public forum. But I will never use them again.
     
  17. bread_boy

    bread_boy Well-Known Member

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    Is it worth it to get the more in-depth (and expensive) report which includes an assessor to attend site?
    I understand the need if it's a fairly new house to maximize deductions but say it's ex housing commission property in original condition built around 1980.
    Wouldn't the cheaper one (no site assessor) be sufficient? The difference is about $400.
     
  18. trinity168

    trinity168 Well-Known Member

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    @Depreciator advises me whether he wants to do an onsite inspection, or can just write one up based on photos.
     
  19. Depreciator

    Depreciator Moderator Staff Member

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    It all depends on the property. In a pre 87 built recent purchase where there are no renos, the only depreciation will be in the Assets: appliances, carpet, HWS, blinds etc. Sometimes it is hard to justify a visit.
    Of course, we are always happy to charge more and visit the property if people want us to.