FURNISHED OR UNFURNISHED
FURNISHED PROPERTIES AND DEPRECIATION BY BRADLEY BEER, B M T TA X D E P R E C I AT I O N
There are no right or wrong answers when deciding whether to furnish your investment property. But there could be big tax savings in doing so, making it more appealing.
tenants to move in quickly. Investors often don’t consider
attract tenants looking for a short-term arrangement such as travellers and business professionals who regularly move for work. Furnished properties can
A tax depreciation schedule is the
depreciation deductions available
best way to ensure you claim all
on furniture. If a furniture asset
deductions you’re entitled to. BMT
was purchased directly for an
found residential property investors
investment property, you can
an average of almost $9,000 in first
claim deprecation.
full financial year deductions last
equipment asset. Furniture with
charge a higher rental rate and decrease the amount of time between tenancies by allowing
financial year. For more information request a
a value less than $1,000
quote today or contact the expert
can be deducted
team at BMT Tax Depreciation on
"Furnished properties can also allow you to charge a higher rental rate and decrease the amount of time between tenancies..."
also allow you to
income.
the advantage of additional tax
Furniture is a type of plant and Furnished rentals tend to
how long it can be used to produce
using a low-value
1300 728 726.
pool, allowing it to be depreciated at an accelerated rate 18.75 per cent in the year of purchase, then 37.5 per cent every year following).
Higher valued furniture
ABOUT THE CONTRIBUTOR Article provided by BMT Tax Depreciation. Bradley Beer (B. Con. Mgt, AAIQS, MRICS, AVAA) is the Chief
depreciates at a rate set by the
Executive Officer of BMT Tax Depreciation.
Australian Taxation Office, based
Please contact 1300 728 726 or visit
on each item’s effective life, or
www.bmtqs.com.au for an Australia-wide service.
C21 MARKET PULSE
08
CENTURY 21
