Tax Office has advised Tax Agents that it is increasing the focus on the investment property deductions in 2015 Tax Returns.
ATO will be paying extra attention to the excessive tax deductions claimed especially for holiday homes. ATO has identified that deductions are not being properly apportioned where the property was not available for rent for the whole year.
ATO will be running a campaign to educate property owners about what they can rightfully claim. ATO will be sending letters to investment property owners in holiday locations providing them with guidelines for the deductions.
Common deductions that are being claimed incorrectly are interest, rates, utility expenses, insurances, depreciation etc.
Don’t get caught out! Please ensure that you only claim deductions for your holiday homes for the period it was actually available for rent.
Call one of our expert accountants Cranbourne or tax agents Cranbourne at 1300 300 106 to ensure you are claiming the right amount, no more, no less. Stay out of hot waters with the Tax Office.