Tax Depreciation | 5 min read
Is my investment property too old to depreciate?
An older property is not automatically a lost cause. Age matters, but so do renovations, capital works, common property, commercial use and the quality of the depreciation assessment.
Why older properties still deserve a review
Some investors are told there is no point obtaining a schedule because the property is old. That advice can be too simplistic.
Renovations, extensions, strata common property and later capital works may still create valid depreciation claims.
What affects the result
Construction date, purchase date, income-producing use, renovation history and asset condition can all influence the schedule.
The more complex the property history, the more valuable proper due diligence can become.
When to get a second opinion
A second opinion is worthwhile if you own an older unit, renovated dwelling, commercial property or strata asset and have been told there are no claims without a proper review.
The cost of missing eligible deductions can be much higher than the cost of asking the question.
FAQs
Common questions
Can pre-1987 property still have depreciation claims?
Possibly. Original construction age is important, but later renovations, plant and equipment, common property or commercial elements may still matter.
Is an inspection required for older properties?
It depends on the property and available records. Older or complex properties often benefit from more detailed review.