Hi all,
I have read a few different threads on here and I am not sure if they really relate to my situation.
I am settling on a new 809 dev block on Monday, which has a house on it.
At no time during my ownership will it be rented, however there is absolutely no private component to it, it is purely business/investment.
The house is not new, but I estimate it has had some renos/improvements done to it over the last few years, the largest being a brand new corrugated roof. That cannot have been cheap. There is also a large amount of fresh concrete around the place, as they had a large shed up the back as the garage, and this would not have been cheap to lay either.
I will be demolishing the house and ripping up the concrete not long after settlement, and wonder if it is worth getting a building/depn schedule to allow me to write off the value of the roof, renos and concrete. I expect the tax benefits here would FAR outweigh the few hundred bucks it would cost to have the schedule done.
Can anyone tell me if this is actually legit in this circumstance? From some of the posts I read it appears it needs to have been previously depreciated to write off the value on scrapping.
To me it seems reasonable that I should be able to write down the value of that being demolished but this is a first for me.
Thanks in advance,
I have read a few different threads on here and I am not sure if they really relate to my situation.
I am settling on a new 809 dev block on Monday, which has a house on it.
At no time during my ownership will it be rented, however there is absolutely no private component to it, it is purely business/investment.
The house is not new, but I estimate it has had some renos/improvements done to it over the last few years, the largest being a brand new corrugated roof. That cannot have been cheap. There is also a large amount of fresh concrete around the place, as they had a large shed up the back as the garage, and this would not have been cheap to lay either.
I will be demolishing the house and ripping up the concrete not long after settlement, and wonder if it is worth getting a building/depn schedule to allow me to write off the value of the roof, renos and concrete. I expect the tax benefits here would FAR outweigh the few hundred bucks it would cost to have the schedule done.
Can anyone tell me if this is actually legit in this circumstance? From some of the posts I read it appears it needs to have been previously depreciated to write off the value on scrapping.
To me it seems reasonable that I should be able to write down the value of that being demolished but this is a first for me.
Thanks in advance,