When a new financial year starts, all property owners have to look for accountants and taxation professionals to help them deal with property taxes, especially the annual income tax return. The government has been very vocal in encouraging those who invested in real estate to follow up on their claims.
As a property owner, you ought to hire a professional to handle your taxes and check all the deductions that you might be eligible to get. A quantity surveyor is the best person to inform you about all the deductions you are eligible for, and they then prepare your tax depreciation schedule. Here are steps that you can follow in obtaining these deductions.
Asking for an Inspection of the Site
The first step that the tax depreciation schedule provider should take before making a decision is to visit your site. A few service providers do not offer a site inspection before they give the depreciation report, and you should enquire about it.
When the officer visits the site of the property, they take photos of all the structures on the site. Their emphasis will be on depreciable items. Remind the person handling the depreciation to list each item separately. This is what will simplify the work of the accountant when making a claim.
Claiming for Old Property
A lot of people make the mistake of thinking that they do not deserve a tax depreciation schedule when the house is older. While the law only allows people whose construction projects happened between 1980 and 1987 to file for depreciation, there are exceptions to this rule.
You might be entitled to deductions if you have an older house that either you or a previous owner renovated during its life. Check with the person handling the assessment to see whether you are entitled to depreciation for an older structure that was revamped.
Making Sure the Schedule Is Updated
Before handing in your depreciation schedule, make sure it is updated. You also have to make all the repairs as soon as the damage happens, as this prevents deterioration. Remember that deterioration negatively affects what you can claim in deductions.
The best way to make sure everything is up-to-date is to get a new depreciation schedule every time that you make renovations to your property.
These are the crucial tips that will help you get the most out of your tax depreciation schedule. Always make sure your property is in perfect condition before you ask for an assessment as it puts you in a position to gain the most.
To learn more, contact a resource that works with tax depreciation schedules.Share