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Is this Tax Deductible?

Discussion in 'Accounting & Tax' started by fullylucky, 1st Mar, 2016.

  1. fullylucky

    fullylucky Well-Known Member

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    This thread you post an item or service and ask if it's tax deductible other forum members has to try to help answer it.

    If you break a drill bit while repairing IP can you buy a new drill bit and tax deduct it?

    What about tape measure used to measure things for repairs?
     
    Last edited: 1st Mar, 2016
  2. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    Yes

    Depends what youbare measuring
     
  3. Scott No Mates

    Scott No Mates Well-Known Member

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    The size of his tax return.
     
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  4. D.T.

    D.T. Adelaide Property Manager Business Member

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    Every item in the world is tax deductible - just need to buy it in the right way or for the right reason.
     
  5. fullylucky

    fullylucky Well-Known Member

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    You sure? Ok thanks.

    I just did my calculation in Excel and interesting thing is,

    interest accounts for more than 80% of all deductibles. So in truth. It doesn't matter how you play it at the end of the day the bottom line will not change much as it is dictated by interest charged by the bank.
     
  6. pinkboy

    pinkboy Well-Known Member Premium Member

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    Care to share your spreadsheet?

    pinkboy
     
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  7. Waldo

    Waldo Well-Known Member

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    The deductions one or the house depreciation one?
     
  8. DaveM

    DaveM Adelaide Buyers Agent & KFC Strategist Business Member

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    If I go to a slum in smithfield plains to do an inspection and have to buy a .22 glock, is that deductible? If not what about bullets? Are they considered tools of trade for people operating in this area and davoren park?
     
  9. fullylucky

    fullylucky Well-Known Member

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    [​IMG]

    Does yours have a similar break down to mine?
     
  10. pinkboy

    pinkboy Well-Known Member Premium Member

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    The infamous one of course.

    I'm sure they will be equally important.

    pinkboy
     
  11. D.T.

    D.T. Adelaide Property Manager Business Member

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    I'd say the weapon would be depreciated rather than deducted. The ammunition would be a consumable item so can be deducted straight away, but check with your tax agent (not accountant or lawyer) on whether you can purchase it within a trust with an ABN. You then might be able to claim the GST back.
     
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  12. fullylucky

    fullylucky Well-Known Member

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    I think if you HAD to buy it for the investment property if you didn't buy the IP you didn't have to spend the money then it is deductible. However with the bullets you can only account the portion you spend on the IP, bullets used for personal reasons should not be deducted.
     
  13. DaveM

    DaveM Adelaide Buyers Agent & KFC Strategist Business Member

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    Thanks DT. What about bullet holes from stray bullets on ballard road that hit my car? I assume my insurance excess and/or private hospital cover excess is deductible?
     
  14. pinkboy

    pinkboy Well-Known Member Premium Member

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    I'd say a Glock may be considered 'excessive' for those areas and may be a subject to 'Luxury Item Tax'.

    Also consider Death, Divorce, Decapitation etc etc.

    pinkboy
     
  15. Waldo

    Waldo Well-Known Member

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    Had a friend who did some exotic dancing for a bit - the stuff she used to claim come tax time was impressive.

    Don't know why she bothered to be honest, I couldnt imagine much of her income was declared.
     
  16. fullylucky

    fullylucky Well-Known Member

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    Only death and taxes are certain in life...
     
  17. HUGH72

    HUGH72 Well-Known Member

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    I'm sure backyard temples are capital costs deductible over 10 years....
     
  18. D.T.

    D.T. Adelaide Property Manager Business Member

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    Aren't most deppreciable items over an expected life span? I've seen temples that have been around for thousands of years!
     
  19. HUGH72

    HUGH72 Well-Known Member

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    Yeah...best to get a private ruling from the ATO.
     
  20. DaveM

    DaveM Adelaide Buyers Agent & KFC Strategist Business Member

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    Many pyramids are tax deductible, just look at all the multi level marketing companies out there