repair or?
- Thread starter graisme
- Start date
There is a high probability that would be classified as a repair.
However, you have to be sure that when you repair the floor you repair it to its original state and don't decide to make any adjustments/improvements. I.e. If they were originally wooden and you then decided to tile them as part of the process it wouldn't be to the original state and thus not a repair.
However, you have to be sure that when you repair the floor you repair it to its original state and don't decide to make any adjustments/improvements. I.e. If they were originally wooden and you then decided to tile them as part of the process it wouldn't be to the original state and thus not a repair.
Replace whole floor sounds like capital (Western Suburbs Cinemas case).
Patch damaged parts with similar materials sounds like a repair (Rhodesian Railways case).
If the termite infestation or damage was present when you bought the building then it is a capital expense no matter whether you were aware at the time nor whether you attempt to "repair" it piecewise (W. Thomas & Co. case).
Check out TR 97/23
Cheers,
Rob
Patch damaged parts with similar materials sounds like a repair (Rhodesian Railways case).
If the termite infestation or damage was present when you bought the building then it is a capital expense no matter whether you were aware at the time nor whether you attempt to "repair" it piecewise (W. Thomas & Co. case).
Check out TR 97/23
Cheers,
Rob
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Ah. Always thought it was about them changing the character of the building instead of 'repairing' back to its original state.
Hi there Grace,
this is a grey area. Could you not replace (I mean repair
) half the floor in say April ? Then pay the account this fin year. Then in July or August finish off the job. The staggered job schedule should bolster your chances of having it down as a repair and not a depreciable item.
Trouble is with this nature of job, it is best done in one hit..... don't want any active termites eating up the initial new flooring whilst you wait for FY to change.
this is a grey area. Could you not replace (I mean repair
) half the floor in say April ? Then pay the account this fin year. Then in July or August finish off the job. The staggered job schedule should bolster your chances of having it down as a repair and not a depreciable item.Trouble is with this nature of job, it is best done in one hit..... don't want any active termites eating up the initial new flooring
whilst you wait for FY to change.
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thankyou doctor, rob and player very much for your in depth replies. (i'm really surprised!)
got the news yesterday that the whole rear area (about 12 x 20 odd metres) of second floor looks to be termite ridden. unfortunately, it also appears to be becoming unsafe, so i will have to do it all at once.
i bought the building in 02, and have no knowledge of any termites before this. how do they know whether you did or didn't anyway?
the floor and bearers are all timber with carpet over. i wouldn't be replacing it if i didn't have to as i expect it to be lots of $$$. can i replace the carpet as part of the 'repair'?
are there any proofs of 'repair' that i could keep as i go along?
got the news yesterday that the whole rear area (about 12 x 20 odd metres) of second floor looks to be termite ridden. unfortunately, it also appears to be becoming unsafe, so i will have to do it all at once.
i bought the building in 02, and have no knowledge of any termites before this. how do they know whether you did or didn't anyway?
the floor and bearers are all timber with carpet over. i wouldn't be replacing it if i didn't have to as i expect it to be lots of $$$. can i replace the carpet as part of the 'repair'?
are there any proofs of 'repair' that i could keep as i go along?
Clutching at straws for you Grace
.......you mention above that the "whole rear area" of the second floor needs replacing. From this I am assuming that there is a front area to the second floor. Hence you are not replacing the entire structure (if my assumption is correct), as this would pertain to the entire second floor. By that definition and perspective, I'm gunning for repair.
If the carpet can be relaid, would be better for you as less cost, otherwise could your careless tradesmen have damaged it perchance upon removal to attend to the floor?
