Rental Property and Taxation: An Australian Investor's Guide 4thEdition

Description:

Now in print for over ten years, the best-selling Rental Property & Taxation debunks many of the myths surrounding tax and real estate investment — and takes the ‘buy now and hope for the best!’ factor out of tax planning for rental property investments.

In this fully updated fourth edition, practising accountant Tony Compton arms rental property owners and would-be owners with the information they need to be better informed about tax as it relates to their own investments. Compton has the experience to know that many property investors do not understand the tax implications of their property investments, and it’s no wonder – Australia’s tax system is involved, complex and unwieldly.

The fourth edition of Rental Property and Taxation is a must for any owner of, or anyone considering purchasing, a rental property. It provides practical and sound advice in a straightforward manner, taking the reader through the purchase of a property, the tax return and the sale.

Don’t leave the success of your investment up to a visit to your accountant once a year — this tax-deductible book could save you hundreds!

Property promoters create the illusion that negative gearing is a magic potion that will solve an investor’s taxation problems. That is not necessarily so. This book takes an unbiased and objective look at the tax effect of a loss from a rental property.

It’s been the author's experience that the majority of property investors do not understand the tax implications of their investment. It is no wonder. Our taxation system is involved, complex and unwieldy.

Rental Property and Taxation, now in a completely updated 4^th Edition, addresses that problem. It provides practical and sound advice in an easy-to-read manner. The reader is taken through the purchase of a property, the tax return and the sale. A checklist is provided to help ensure that deductions are claimed in full. The effect of non-cash allowances such as depreciation and the construction cost of write-offs are discussed, as are repairs and maintenance, capital gains tax, record-keeping and other tax matters.

Contents include:

Preface

1. The Purchase
2. The Tax Return
3. Variations of Tax Instalment Deductions
4. The Sale
5. The Goods and Services Tax
6. Capital Gains Tax and Rental Properties
7. Depreciation Revisited
8. Construction Cost Write-Off
9. Interest
10. Interest-Only loans: A Strategy
11. Split Loans
12. Negative Gearing
13. Repairs and maintenance
14. Other Tax matters
15. The Tax Effect of a Loss from a Rental Property
16. Structures and Ownership
17. Record-Keeping
18. Technical matters
19. Land Tax
20. Some Statistics

Conclusion

Appendix A: Deduction Checklist

Appendix B: Pro Forma Agent’s Statement Summary

Appendix C: Pro Forma Rental Statement

Appendix D: Pro Forma Depreciation Schedule

Appendix E: After-Tax Cost of Interest