Why depreciation deserves a closer look from property investors
Changes to negative gearing are making the taxation of residential investment more complex, putting a greater focus on understanding depreciation.
Depreciation is becoming an increasingly important part of assessing an investment property’s overall tax position as negative gearing rules change. (Image source: Shutterstock.com)
For many property investors, a depreciation schedule has traditionally been something considered after settlement, often once the property is tenanted and tax time begins to approach.
However, with the tax treatment of residential investment property changing, depreciation warrants closer attention.
From the 2027–28 financial year, negative gearing will generally be limited to qualifying new residential properties. Properties held before 7.30 pm …
