Strata fees - special admin fund

Discussion in 'Accounting & Tax' started by thesuperman, 2nd Jul, 2017.

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  1. thesuperman

    thesuperman Well-Known Member

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    If the strata has charged owners a special admin fund in addition to the quarterly strata fees eg. Garden Bed Planter Boxes, can we as owners depreciate it? If so, do we just get our accountant to do it or need to get a new depreciation schedule?
     
    thesuperman, 2nd Jul, 2017
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  2. Paul@PAS

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

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    Special levies are not tax deductible and may indicate that Div 43 expenditure has been incurred. A QS may want to update the QS report. An accountant cannot assess costs or the extent of your share of the whole property (eg own site + common areas)
     
    Paul@PAS, 3rd Jul, 2017
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  3. thesuperman

    thesuperman Well-Known Member

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    Ok thanks Paul.

    Curious why special levies aren't tax deductible as it's an expense we as rental property owners are incurring, just like strata fees.
     
    thesuperman, 3rd Jul, 2017
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  4. Paul@PAS

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

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    Special levies represent capital expenditure. Thus cant be deductible but may be depreciable
     
    Paul@PAS, 3rd Jul, 2017
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