Depreciation is the natural wear and tear that occurs to a building and the assets within it over time
A tax depreciation schedule outlines all available property depreciation deductions you can claim at tax time.
After hearing about the benefits of making a depreciation claim from his Accountant, Trent contacted BMT Tax Depreciation who completed a thorough site inspection of his property and provided a detailed tax depreciation schedule. This schedule outlined that Trent was entitled to a depreciation deduction of $6,000 in the first full financial year for his property.
The following scenario shows Trent’s cash flow with and without a depreciation claim.
A Tax Depreciation Schedule reduced Trent’s annual outlay for the property to $4,873 per annum or $94 per week, a difference of $42 per week or $2,220 in just the first year.
*information provided by BMT