The end of the financial year is upon us! It is important that you are prepared and organise to avoid any unexpected complications. We have put together some helpful tips to help you prepare for this tax time.
- Unless you’re a whiz with numbers and can do your own taxes. Our tip, employ an accountant. They are here to help you maximize your return and can help you with what you can and can’t claim. They also have a longer deadline so you won’t have to rush to bring everything together.
- It may seem obvious, but have all your tax related documents in one place. There’s nothing worse than when tax time comes around and your important documents are in three different places.
- Check your landlord’s insurance. Did you know you can claim your insurance as a deduction? It’s valuable to look at the premium you have, to check if you can claim.
- Learn the difference between repairs and improvements when making changes to your property. Repairs can be claimed when there is usually a ‘one off fix’ and you should be able to claim the entire expense. For improvements or ‘capital expenses’, only a small but even amount can be claimed for the current tax year. Check with your accountant to separate the two.
- Finally, under claiming is where many landlords can lose out. It’s important you know what expenses you can claim. Running costs, council rates and land taxes are all possible expenses that can be claimed.