What docs do I need for rental property for tax time

Discussion in 'Accounting & Tax' started by Kidgeeq, 8th Jul, 2020.

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  1. Kidgeeq

    Kidgeeq Active Member

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    Hi All

    I’ve got two investment properties. I’m wondering if someone can guide me through the tax procedure.

    they are both rented out and managed by my nephew.

    what documentation do I need to provide? What can I claim etc?

    Any general info will be great
     
    Kidgeeq, 8th Jul, 2020
    #1
  2. wylie

    wylie Moderator Staff Member

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    Can I very respectfully say that I think you should use an accountant. Anything you may forget should be picked up by someone who does this day in and day out.

    Cost will be tax deductible. There’s no way I’d ever take on DIY tax returns with investment properties.
     
    wylie, 8th Jul, 2020
    #2
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  3. jared7825

    jared7825 Well-Known Member

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    Speak to an accountant, hopefully you have some records for the year otherwise this will be a mess to sort out
     
    jared7825, 8th Jul, 2020
    #3
  4. Scott No Mates

    Scott No Mates Well-Known Member

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    Does he hold a real estate licence and hold a legitimate trust fund. As an agent, he should be providing the statement of income & expenses for each property.
     
    Scott No Mates, 8th Jul, 2020
    #4
  5. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    No docs docs needed. Just add up all expenses
     
    Terry_w, 9th Jul, 2020
    #5
  6. mr_alex

    mr_alex Well-Known Member

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    I self manage my own, I give my accountant a spreadsheet of all income (rent, water usage paid by tenant and any insurance payouts) and expenses ( loan interest, council water and rates, insurance premiums, any repairs accountant fees) i have all expense receipts/evidence but dont give these to accountant.
     
    mr_alex, 9th Jul, 2020
    #6
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  7. Todd

    Todd Well-Known Member

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    Make sure you get a depreciation report done by a quantity surveyor (BMT, Washington brown). Will be worth it.
     
    Todd, 9th Jul, 2020
    #7
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  8. Trainee

    Trainee Well-Known Member

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    Your accountant has never questioned whether something is a repair or a capital cost?
     
    Trainee, 9th Jul, 2020
    #8
  9. mr_alex

    mr_alex Well-Known Member

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    Not yet. I provide a bit of a description in the sheet I provide him, usually copy and paste what was written out on the job invoice. In saying that, I have never claimed over $600 for any repairs, which I think it the limit for an immediate deduction on capital?

    EDIT: $600 in total if you own 50:50 share or $300 if on your own.
     
    Last edited: 9th Jul, 2020
    mr_alex, 9th Jul, 2020
    #9
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