What is a tax depreciation schedule?

Pay less tax when you claim deductions for depreciation, using a depreciation schedule

A Tax Depreciation Schedule is a comprehensive report that outlines the building costs and asset values of a property, as well as an annual value for their depreciation due to ageing and wearing out.

A Tax Depreciation Schedule can also be referred to as:

  •  a Capital Allowance and Tax Depreciation Schedule;
  •  a Quantity Surveyors Report (QS Report); or 
  • a Rental Property Depreciation Report.

We can help you with a depreciation schedule today

Download a sample depreciation schedule.

Request an estimate of your depreciation.

What does a tax depreciation schedule include?

Not all depreciation schedules are the same, and quality providers will have more report inclusions and details to assist you and your accountant to apply the most effective methods of depreciation for your circumstances. A Capital Claims Tax Depreciation Schedule has all of the inclusions that help you to maximise your deductions such as: 

  • Individually itemised asset values
  • Identification and separation of staged capital works and improvements - pre and post-purchase renovations
  • 40 years of forecasted deductions
  • Reporting of both diminishing value and prime-cost methods of depreciation, as well as graphing of the results for easy comparison
  • Pooling of low-cost and low-value assets to speed up depreciation claims in the earlier years
  • Inclusion of immediate write-off assets
  • Scrapping/disposal of assets where applicable
  • Itemised Division 40 asset depreciation for application against CGT at sale

Why do I need a tax depreciation schedule?

A tax depreciation schedule will outline the deductions claimable for your Division 40 (Plant and Equipment) and Division 43 (Building Write-Off) claims when completing your tax return.  It is important that these deductions are correctly assessed and estimated to ensure ATO compliance in case of an audit.  

Some accountants say they can calculate these deductions for you, but accountants are not recognised by the ATO as qualified to estimate construction costs and asset values.

Accountants can only work off given costs (receipts and invoices) and are not qualified to estimate total costs.  It is important that a recognised professional completes your depreciation schedule for you for compliance purposes.  

What do I do with a tax depreciation schedule?

Once you have received your Tax Depreciation Schedule simply email it to  your accountant, or take it along to your appointment so that they can include the calculated figures in your tax return.  At Capital Claims we can email the schedule directly to your accountant if that is helpful for you.  

If you are completing your tax return yourself, you can use the figures included to enter the correct amounts into the rental property section of the ATO tool.  If  you are unsure how to apply the results yourself you can contact us at Capital Claims, or the ATO for further guidance.

How much does a depreciation schedule cost?

Costs for depreciation schedules vary within the industry, with cheap reports starting for a few hundred dollars.  Quality Depreciation Schedules that incorporate works completed by previous owners, plus renovations you have completed, scrapping where necessary, can cost at least $770.00 if you are purchasing from the largest competitor for example.

A Capital Claims Tax Depreciation Schedule costs from $440.00 for brand new homes where costs and additional data are provided up to $715.00 for more complicated reports requiring full inspection and additional works.

Our reports include everything the largest competitors report does, just for a better price.  Check in with our team to see if we have a discounted arrangement in place with your accountant or property manager and you may save some further dollars. Regardless of who you purchase from, we think it is important to keep value in mind.

The fee is 100% tax deductible and paying a couple of hundred dollars extra to avoid the cheap and nasty reports will likely mean thousands of dollars in additional cash flow to you over the life of the report. 

What to consider when purchasing a schedule

Ensure your Quantity Surveyor is a registered Tax Agent – registered with the Tax Practitioners Board of Australia;

Use a specialist provider – calculating and reporting Capital Allowances and Tax Depreciation is not a core business for many Quantity Surveyors. A specialist will be up-to-date with the most relevant legislation and have the most experience in interpreting legislation and tax rulings to maximise the claims for your particular scenario;

Make sure your depreciation schedule includes all of the features listed above.

 Your chosen provider should also:

– Complete a free desktop assessment to provide a personalised estimate of deductions;

– undertake all necessary property searches;

– arrange the property inspection where required; and

– liaise with you or your accountant to discuss the report going forward.

Get your tax depreciation schedule from Capital Claims Tax Depreciation

With a free desk-top feasibility assessment of your property first, you can feel assured of a reliable assessment up-front and know that our report will be worthwhile and valuable to you. 

Thousands of happy investors recommend our depreciation services every year!

  • I have worked with Capital Claims over the last few years and have at all times found them to be the ultimate professionals. The quality of the reports produced and the speed of service is second to none. I continue to work with his organisation because they offer excellent value for money and exceptional customer service. I would highly recommend anyone considering the preparation of a depreciation report to get in touch with Capital Claims. Salena Kulkarni

    Salena Kulkarni
    Phoenix Wealth Group / Principal
  • Capital Claims in Canberra made obtaining a tax depreciation schedule effortless. I did not need to organise anything, and the report was excellent value. I wish I had known earlier what they could do for my investment property!

    Kellin Kristofferson
    Artisan Law / Director
  • Very professional and turnaround time to get the reports have been fantastic - would recommend them to all our clients.

    Gay Spooner
    Key Real Estate / Director
  • Very friendly, personal service & efficient provision of reports. Definitely 5 stars.

    Maria Edwards
    Peter Blackshaw Woden and Weston Creek / Leasing and Business Development Manager
  • I have used Capital Claims Tax Depreciation for 2 of my properties. One located in Queanbeyan and the other down the coast. CCTP were able to accommodate both locations. Sean and the team were particularly helpful with our elderly resident at our coastal property showing plenty of patience. The reports were professional,thorough and easy to follow and well worth the cost. If you have an investment property - you need CCTD to keep you up to date.

    Brian Hunter
    Dizzy Office Furniture Dexion Canberra / Director
  • As an Accountant I found Capital Claims professional, priced well and very efficient. There reports are first class. My client was also happy with the service and report. Michael O'Hehir RSM

    Michael O’Hehir
    RSM / Principal
  • White Rhino Property is extremely happy with the continued service that Capital Claims provides us and our clients. We never hesitate to recommend them, as we find Capital Claims to be professional, knowledgeable and efficient. Chelsea van Zyl

    Chelsea van Zyl
    White Rhino Property / Director of Property Management
  • Here at Sidcor; we have had the pleasure of developing a great working relationship with Mark and the team at Capital Claims, they believe in providing a premium service that benefits both ourselves and our clients. Their knowledge and applied experience has assisted many of our clients improve their after tax position. Whilst we have found the Capital Claims team to have a detailed approach to preparing depreciation reports; we have also found their ability to look at the whole picture allows us to assist our clients with their property portfolios and wealth creation. We have always found their strong focus on delivering upon their promises a valuable asset that aligns seamlessly with our own philosophy of delivering impeccable customer service. As a partner in business, Capital Claims adds an extra dimension to our professional services and as such we can confidently recommend their services to professionals and property investors alike.

    Paul Siderovski
    SiDCOR Chartered Accountants / Director
  • Mark and the team have outstanding customer service standards and are very responsive on all matters. Importantly, the Capital Claims team have been able to deliver great results for our clients, which makes us look good. We have had numerous occasions where the expertise from Mark and the team has delivered thousands of dollars worth of tax refunds on properties for clients whom had previously been advised there was no point in having a schedule prepared.

    Warwick Jackson
    Berkmans Chartered Accountants / Director
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