New Property - Depreciation

Hi Guys,
I am planning to put air conditioners to two bedrooms in newly acquired bedroom as that seems cost effective than ducted heating and cooling. Can that be claimed for depreciation immediately. Also might have to get a handyman to clear up garden touch ups etc. Can that be claimed immediately. Also should the invoice for handyman airconditioner include investment address for record keeping?

 

Yes invoices should have the property address
Yes they can be claimed as a depreciation expense

Yes the gardening or any other expense can also be claimed (not always depreciated though)

 

Thanks.So depreciated means over 40 years and immediate expense is current year correct.So air conditioner cannot be claimed immediately.What if the air conditioner was already there and not working and replaced with new unit.Can it be claimed immediately?

 

Air-Conditioners cannot be claimed immediately, unlike -for example- the cost of fixing the existing unit.

Everything has a lifespan according to the ATO, only the building's lifespan is as long as 40 years. I believe the Splits are depreciated over 10 years.

Guide to depreciating assets 2017

 

Thanks Tom!!

 

OOPS, the original link I had in that comment was old old old, I've edited with something more current.

 

Yep, 10 year Effective Life for splits.
Using the Diminishing Value method, which nearly everyone does, that's 20% per year on the diminishing total.
If the unit is below $1,000, it can go straight into the Low Value Pool - 18.75% in the first part year and then 37.5% per year after that on the diminishing total.
Scott

 

Thanks. Is install included in the depreciation? Just confirming

 

Yep. Installation is included in the total cost of the Asset.