We have a 2 bedroom IP that we are claiming depreciation on for blinds, airconditioner, etc. The IP was built in 1998 and as such I don't think qualifies for depreciation of Capital Works, yet I've read from another famous property investor that you should be able to claim depreciation on the IP asset (ie, the 2 bedroom unit ... but not the land). Obviously, 2.5% can get us an additional $2.5K at tax time. Is this true ?
I think the depreciation (if allowed as above) also reduces the cost base for the purpose of Capital Gains Tax. Is this true ?
I think the depreciation (if allowed as above) also reduces the cost base for the purpose of Capital Gains Tax. Is this true ?