Quantity Surveyor's Report for 'old' property

Discussion in 'Accounting & Tax' started by Heinrich, 20th Feb, 2019.

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  1. Heinrich

    Heinrich Member

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    Greetings fellow PC members,

    Will appreciate if you could share your thoughts on the following:

    I am in the process of moving out of my PPOR and will make it a rental property and it will cease to be my PPOR from that point onwards. It's over 40 years old, but I have over the years done various improvements to it. Now, I am wondering if there's any merit in having a Quantity Surveyor's report so I can claim some depreciation like bathroom and kitchen renos, new gutters, fences, landscaping, new air cons, etc, that I did in the recent past but have lost/misplaced many tax invoices/receipts.

    Cheers,
     
  2. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    1. Seek a real estate agent opinion or more than one and retain the highest. The costbase is reset to this value. I assume its a post-CGT property. If its pre-CGT dont bother
    2. Discuss with a QS. They will incorporate improvements and it likely will have value. All the good QS firms will be able to guide the merits of the report. And be able to assist with the cost of matters that you dont possess receipts etc for.

    In no particular order : BMT, Washingtown Brown and Depreciator
     
    craigc and BMT Tax Depreciation like this.
  3. Heinrich

    Heinrich Member

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    Thanks Paul for your reply, could not quite get your point (1)
    "1. Seek a real estate agent opinion or more than one and retain the highest. The costbase is reset to this value. I assume its a post-CGT property. If its pre-CGT dont bother'

    Did you mean to say, I ask REA to give an opinion of the current value of the property, OR, the current/remaining value of the addtions/altertions so I could add to the cost base?

    The property was bought in about year 2000, so I presume it makes it post-CGT.
     
  4. Depreciator

    Depreciator Well-Known Member

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    Paul means to get a market val on the property from an RE agent for the possible calculation of CGT down the track.
    The agent will be of no use with the cost of alterations.
    That's where a QS comes in. A QS will want to know what you have done and when and what costs you can recall. Photos and floorplans will be useful. That's a starting point to work out if it's worth going further.
    Scott
     
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  5. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    Yes - There are two issues. CGT issue and the QS issue.