Did you know that a tax depreciation schedule is 100% tax-deductible?
Hey everyone, Tuan Duong, Founder of Duo Tax Quantity Surveyors here for another video
designed to help you become a better property investor.
Over 70% of Australians are missing out on depreciation for their property each year.
That’s MORE THAN two-thirds of property investor who could be pocketing thousands
of dollars in savings each year.
There’s a common misconception that buying a tax depreciation schedule will cost you
an arm and a leg. But I’m here to tell you that it won’t!
Not only is it worth the cost in the long run, but one schedule will last you 40 years
AND it’s 100% tax-deductible.
So in this video, I’m going to show you how much it costs to order a schedule when
you should order it and the thousands of dollars you could potentially save.
Before we get into it, we want to be clear that this video is for informational purposes only.
In no way should you interpret this as tax advice. We always recommend working with a
qualified accountant or tax agent who can give you the best advice for your situation.
Alright, let’s go!
After interest on loans, depreciation is the second biggest tax deduction you can claim.
But what’s depreciation?
This is the wear and tear and the loss in value of your property and its assets over time.
If you don’t know how tax depreciation works for property, click the link above to watch
our other videos that explains this.
This loss in value is what you can claim as a tax deduction.
What’s great about tax depreciation is that you don’t just claim it once, you can claim
this for years using a single report for as long as you continue using it to generate an income.
So, how do you go about claiming depreciation? Through a tax depreciation schedule from a
quantity surveyor of course!
A depreciation schedule is a report that breaks down the tax depreciation deductions you can
claim on your property.
The purpose of a depreciation schedule is to outline the value of both your capital
works and your plant and equipment.
Most importantly, it shows you how much those assets have already depreciated and how much
they can continue to depreciate in future years.
This will give you a clear idea of how much you can claim.
If you’ve bought an investment property, get in touch with a quantity surveyor like
us at Duo Tax to estimate how much you can claim.
In our experience, most investors who work with us claim an average of $7,000 in tax
deductions in the first year alone.
On a typical Australian income tax rate of 30%, that means Duo Tax's customers are receiving
on average $1950 in tax refund in the first year alone, which makes Duo Tax's one-off
fee of $700 incredible value!
And that's not to mention that our reports last for an average of 15 years.
So that means with a single report, they're able to make
claims of depreciation for 15 years in most cases!
Do you want to know the best bit? The cost of our report can ALSO
be claimed as a tax deduction.
If you’ve made it this far, that means I may have convinced you that you NEED to get
a depreciation schedule as soon as possible!
Suppose you’re thinking of getting in touch with one of our friendly team members to unlock
your tax deductions. In that case, it’s worth making note that the schedule should
be organised before the 30th of June each calendar year to ensure you can claim the
fee of a depreciation schedule without having to wait until the next financial year.
So, there you have it guys! A depreciation schedule that costs virtually nothing to provide
SO MUCH value.
To find out more about tax depreciation, make sure to check out some of our other videos
on our YouTube channel and subscribe for more.
I’m Tuan Duong, I'll see you next time!