Top Tips For Landlords At Tax Time

While claiming tax deductions on your rental property will undoubtedly boost your return, many property investors don’t take advantage of all the available opportunities. That’s because some landlords don’t know what expenses are claimable and what ones aren’t.

For example, some don’t realise that the property must be legitimately available to rent to claim a deduction. And it certainly doesn’t help that the ATO changes the regulations every year.

So to help you out here’s some useful tips to maximise the return for your investment property this EOFY.

Loan Interest

If you took out a loan to purchase your investment property, you can claim any interest charged on it. This deduction is easily the biggest rental property deduction you can claim.


The fact that all kinds of professional advice can be claimed is an excellent incentive to take advantage of hiring accountants, rental agents, and legal counsel.

Strata Fees

Body corporate fees are only tax-deductible for an investment property if they’re paid by you and not the tenant.


While general wear and tear of investment properties can be claimed, a schedule of depreciation must be prepared by a quantity surveyor. But unfortunately, despite their fees also being tax-deductible, most landlords haven’t had a depreciation schedule prepared.


Maintenance and repairs are only eligible if it’s a direct result of being rented out and doesn’t upgrade or improve the property. Don’t forget you’ll be able to claim maintenance expenses almost immediately if completed before June 30.  

Keeping the right records

Remember to keep all receipts and invoices for your investment property, as you need proof to claim expenses as tax deductions.

Capital Gains Tax

If you’re selling your investment property, you’ll be required to pay Capital Gains Tax on any profit. You can avoid being charged CGT this fiscal year by delaying the sale transaction until July 1. And if the sale isn’t within the first 12 months of ownership, you’ll also be eligible for a 50% CGT discount.


*Disclaimer: This article is for general information only and should not be relied on as advice. You should consider your personal situation and seek advice that is specific to your circumstances before making any decisions based on this information.  If there are any issues you would like us to discuss with us arising from this article, please contact us*

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