Renovation proir to settlement.

I'm currently renovating a vacant property prior to settlement (new kitchen, bathroom , paint ect )I understand that this cost $25K can be added to cost base to offset capital gains tax. I'm a bit concerned as I need help in advice with, Should I have the invoice dated to me for after settlement date not prior? Or does it not matter regarding tax and depreciation purposes.

Look forward to your feedback.

Thanks, YB

 

Can be wrong but doubt that it matters as long you can prove it (contract copy with signed date) ...

More importantly, why not wait for settlement to occur first? In case something goes wrong with the settlement e.t.c e.t.c ... and your conveyancer should be advising you the same..

I am aware some ppl do it, but it can lead to lot more pain if something goes wrong with the settlement ..

 

The invoice date will be the date it is issued. Why would you seek to have it changed ? The invoice date is largely irrelevant to CGT costs. The earliest date for depreciation will be the date it is all completed and it is your property and available for rent.

 

As long as the house is not being lived in prior to settlement (while you're renovating, up to the settlement date) then your renovations will not be affected by the 2017 Federal Budget changes to depreciation claims.