Tax Depreciation | 4 min read
New assets in a rental property: what should be added to your depreciation report?
New assets purchased for a rental property can be easy to overlook if the original depreciation schedule was prepared before they were installed.
New items can sit outside the old schedule
A schedule prepared at purchase may not include later assets such as appliances, blinds, carpets, split-system air conditioning, ceiling fans, hot water systems or security equipment.
Your accountant may need cost, installation date, asset description and whether the item was new or previously used.
A structured update helps keep these details in one place rather than scattered across receipts.
Residential plant and equipment needs care
Residential plant and equipment rules are technical, particularly for second-hand assets and properties purchased after the relevant rule changes.
New assets you buy and install for the rental may be treated differently from assets already in the property when you purchased it.
The safest pathway is to have the items reviewed and then confirmed with your accountant.
When an update is worthwhile
A single low-value receipt may not justify a full report update, but multiple new assets or major replacements often deserve review.
This is especially true near EOFY when your accountant is preparing the return and needs current property information.
BWK Group can review the asset list and advise whether a report update is practical.
Next step
Want to see what a professional report includes?
If you are not ready to request a quote, request sample report formats first. You can review the structure, assumptions and level of detail before deciding which report is right.
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FAQs
Common questions
Should I add new appliances to my depreciation schedule?
If the appliances were bought for an income-producing rental property, keep the receipts and ask whether the schedule or accountant records should be updated.
Are second-hand residential assets claimable?
Residential second-hand plant and equipment is subject to restrictions. The correct treatment depends on the asset, timing and ownership circumstances.