A quick IP rent/tax question...

[WebBoard]

From: Funky Whuff



Hi all,

Just a quick question... I know it has been generally discussed many times but i have an addit to ask... I am currently living in my PPOR which is a two-bedroom townhouse, and my sister has been staying for three months this year, living in the second bedroom and paying me $80 rent per week. What sort of formal documentation do i need to prove that this rent was paid for my tax return, and can i claim three months' worth of depreciation/IP expenses for half of the townhouse?
Cheers,
Funky

 

[DaleGG]

Reply: 1
From: Dale Gatherum-Goss


Hi Funky!

Yes, you can claim 3 months worth of interest, depreciation, rates, etc etc etc.

There is no formal documentation required, although, for reasons of protecting your own bum )) I would cut a page from the local newspaper or similar, showing the market rent for shared accommodation in your area.

I have one client who keeps an 80c exercise book in which he records the rental period and amounts received.

I hope that this helps

Dale

 

[WebBoard]

Reply: 1.1
From: Funky Whuff


Hi Dale...
It's Funky... thanks a heap for your help!! You're a champ!