Objection 1 – Not understanding the importance and positive outcomes of a QS carrying out the report
Answer: Little things can make a big difference to your deductions. For example, we start your tax depreciation schedule from the settlement date (other companies) do a generic full year, so you are pro-rating items under $300 and Low pooled items by how long you own them.
This is incorrect, and the items should be claimed at 100% and 18.75% whether you hold them for one day or 365 days of the 1st year.
Objection 2 – Worried your proceeding with a report that might not be worthwhile?
Answer: The initial stage of the reporting process involves our team looking over the information received and reviewing whether or not it’s worth your while.
Of course, we are a business and can report for you, but our mission is to provide our clients with a good return on their investment and be satisfied with the result, and if it’s not worthwhile for you, it’s not worthwhile for us. We guarantee that if we don’t save you twice our fee in the first year, your report will be FREE.
Objection 3 – Information on the property too hard to get your hands on?
Answer: That’s fine! Please provide the information that is available to you and leave the rest for the expertise of our customer service team and qualified Quantity Surveyors to find the information for you, e.g. Corelogic. Any uncertainties, one of our expert Quantity Surveyors will personally discuss with you.
Objection 4 – Does your property need to be inspected?
Answer: With the changes to the depreciation laws, not all properties now need to inspect. Learn about changes to the property tax depreciation laws.
Objection 5 – Why can’t a QS estimate renovation work if the costs are known?
Answer: It is an ATO requirement that if the costs ARE KNOWN, then the information must be provided. If you cannot provide the data (as we know everyone’s situation is different), we ask you to give the renovation details best to your knowledge.
Objection 6 – Washington Brown seems too expensive compared to cheaper companies
Answer: Have you ever thought think why these companies are cheaper? In a sense, it’s like using the most affordable builder or the cheapest accountant.
We send out qualified staff and try and get you every legitimate deduction you are entitled to where an inspection is required.
We are ATO compliant, and in the short term, you might be saving a few hundred dollars, though, in the long term, you could be missing out on thousands of dollars you are entitled to simply because we are good at what we do!
Objection 7 – Property is really old – how can there still be depreciation left to claim?
Answer: A misconception is that a property investor cannot claim any depreciation deductions if the property is older than 1987.
The tax deductions are higher on a newer property but are still available on most investment properties.
Even though the depreciation laws have changed, you can still claim depreciation on second-hand properties, most of the time.
Objection 8 – How far can you backdate your tax?
Answer: you can backdate depreciation for up to 2 years from the last time you submitted your previous tax return.
Objection 9 – Can you claim on renovations that have been carried out by previous owners?
Answer: Yes – when inspecting the property, we consider all property renovations that may have been carried out and then estimate the depreciation you are eligible to claim for.
Objection 10 – Can you claim depreciation on an overseas property?
Answer: No matter where your property is in the world, you can claim depreciation on an overseas property if you are an Australian taxpayer. We have serviced such countries as New Zealand, USA, Indonesia, UK.
Objection 11 – Why use a Quantity Surveyor and not an Accountant?
Answer: As stated in the Tax Ruling 97/25 issue by the Australian Taxation Office (ATO), your accountant cannot prepare a depreciation report if the property is newer than 1985.
They are not allowed under the ruling to estimate the costs where the costs are unknown.