What can you claim on a rental property?

These are the expenses incurred in the day-to-day management and maintenance of your rental property that you can claim against your current year’s income.

• Advertising costs.
• Body corporate fees and charges.
• Council rates.
• Land tax.
• Insurance.
• Interest expenses.
• Pre-paid expenses.
• Property agent’s fees and commission.

What Expenses Can You Claim This Year?

• Advertising for tenants.
• Body corporate fees and charges.
• Borrowing expenses (incurred from directly taking out a loan for the purchase of your rental property – claimed over five year period or 20% each year)
• Council rates.
• Water charges.
• Land tax.
• Cleaning.
• Gardening and lawn mowing.

What kind of taxes can I claim on a rental property?

Claim tax deductions for any expenses related to your rental property. Common rental property expenses include home insurance, heat, hydro, water, and mortgage insurance. Claim the full amount of expenses if it is for a rental property, but only a percentage if it is for part of your principal residence.

Can a rental property be claimed as a holiday?

If the main purpose of the trip is a holiday, you cannot claim the cost of getting there – you can only claim local expenses directly related to inspecting the property, such as taxi fares and part of your accommodation expenses. You must be able to show your reason for visiting the rental property.

Can You claim depreciation on a rental property?

One of the most significant expenses you can claim is depreciation. However, this expense is easy to miss, because depreciation is not an out-of-pocket expense like other rental property expenses. It is important to understand: What depreciation expenses you can claim.

Can a rental property be claimed as a principal residence?

Claim the full amount if you are renting out a separate property or only a portion if it is part of your principal residence. If you paid $2,000 a year in insurance premiums for your rental property, you could claim the full amount on your tax return as long as the rental property is not your principal residence.