Can I claim tax deduction for a special levy the body corporate imposed?

Question: I recently bought my first investment property, there was an extra $2000 special levy charged by the body corporate to repaint the whole building. I presume it falls under repair and maintenance so it is tax deductible, right? Answer: As the building was in need of a repaint when you purchased the investment property, …

Can I claim tax deduction for the expenses happened before the property was rented out?

Question: I recently bought my first investment property in April 2010. Unfortunately it wasn’t rented out until early July. I wonder if I can still negative gear anything (claim tax deductions) for the period that the property was vacant though I received no rental income? Answer: Although you didn’t get any rental income for the …

Property investment strategies – How to pick a good investment unit or apartment

Are units or apartments good or bad for property investment? What factors should you consider when buying investment units or apartments? Many people invest in apartments because they often have a cheaper buy-in price than houses and are also thought to be a lot easier to maintain without gardens to worry about, and with the costs of …

Property investment strategies – How to pick a good investment property

Should I pick an investment property by capital growth or rental return? Should I invest in houses or units? Property investing has become a popular Australian past time with one in ten taxpayers owning a negatively geared property. But just what makes a good bricks-and-mortar investment? It’s not about buying any old house or unit, …

What rental expenses that I can claim for an immediate deduction?

Expenses for which you may be entitled to an immediate deduction in the income year you incur the expense include: *advertising for tenants * bank charges * body corporate fees and charges * cleaning * council rates * electricity and gas * gardening and lawn mowing * in-house audio/video service charges * insurance – building – …

What rental expenses that I cannot claim for tax deductions?

Rental expenses for which you are not able to claim deductions include: * acquisition and disposal costs of the property * expenses not actually incurred by you, such as water or electricity charges borne by your tenants * expenses that are not related to the rental of a property, such as expenses connected to your …

2010 will be a good year for rental property investors

With residential property prices around the country on the rise, some real-estate investors are wondering if they have missed the boat. “I have been considering investing in a unit for about 12 months,” writes Kate, “but I thought prices would fall significantly due to the global economic crisis, and they didn’t. Then I expected prices …