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Tax Depreciation Examples

House Purchased Post 9 May 2017 Depreciation Example 2
Location: Upper Coomera Queensland 4209
Property Type: Single level, 4 bed, 2 bath, dwelling with double lockup garage
Purchase Price: $445,000
Settlement Date: January 2018
Available for Lease: January 2018
Construction Date: June 2004
Total depreciation calculated for the 1st full year: $4,253
Total depreciation calculated over a 5 year period: $18,957
Total depreciation calculated over a 10 year period: $40,222
Total depreciation calculated over a 40 year period: $116,391

NOTE: Purchased post 9 May 2017 unable to claim depreciation on existing plant & equipment items at time of purchase under the Treasury Laws Amendment (Housing Tax Integrity) Bill 2017 Chapter 2 – Limiting deductions for plant and equipment in residential property. If new plant and equipment items are purchased and installed by the owner, they are able to claim depreciation on those plant & equipment items providing they are new and only used for income generating purposes.