Tyron Hyde, co-owner and director at Washington Brown, one of Australia’s largest quantity surveying companies, said many property investors still don’t understand or appreciate the benefits of claiming depreciation on their investment properties.
“Depreciation is basically a tax deduction available to all property investors. But according to the Australian Bureau of Statistics only about 65 per cent of property investors are claiming it. So there is still a large number of Australians missing out.” said Hyde.
In his book, CLAIM IT! – the first Australian book written about depreciation – Hyde spells out what can and can't be depreciated. It also includes tips on how to legally maximise your claim, the most commonly missed deductions, and how best to stay under the ATO's radar come tax time.
“Most people think it's just the bricks-and-mortar, the building itself when they think of depreciation. But there’s a lot more to it. You can depreciate the carpets, the microwave, ovens, even common property,” said Hyde.
"In some cases, it can be $10,000 to $15,000 worth of deductions in the first year alone off your taxable income."
The book also compares depreciation for different property types including high-rise buildings, low-density developments, brand new versus old buildings and renovated properties.
“I’ve been in this industry for over 20 years now, but I still see many people confused about what they can claim on depreciation. CLAIM IT! is sort of depreciation 101, and I hope it will help property investors maximise their return on investment by claiming depreciation on their properties,”
CLAIM IT! – A property investor’s & developer’s guide to depreciation is available at all good bookshops. Or you can visit: www.claim-it.com.au