End-of-Financial-Year Tax Tips for Property Investors
End-of-Financial-Year Tax Tips for Property Investors As the financial year draws to a close, it's an opportune moment for property investors to optimize their tax positions and ensure their investment strategies are aligned for the year ahead. At Mortgage Matrix, we're committed to helping you navigate the complexities of property investment taxation.
Article written by
Jasmine Miller
🧾 Understand Your Deductible Expenses
To maximize your tax return, it's crucial to identify which expenses are deductible:
Immediate Deductions: Expenses such as interest on investment loans, council rates, pest control, repairs, maintenance, and low-cost depreciating items (under $300) can typically be claimed in the year they're incurred.
Deductions Over Time: Costs like capital works, borrowing expenses, and asset depreciation are spread over several years.
Non-Deductible Expenses: Personal expenses, including those related to periods when the property was used for personal purposes, are generally not deductible.
For a comprehensive understanding, refer to the ATO's guide on rental property expenses.
🏠 Apportion Expenses for Part-Time Rentals
If your property was available for rent only part of the year or was rented out through platforms like Airbnb, you must apportion your expenses accordingly. This ensures you claim deductions only for the periods the property was genuinely available for rent.
🛠️ Finalize Repairs Before June 30
Completing necessary repairs and maintenance before the end of the financial year allows you to claim these expenses in your current tax return. This includes tasks like fixing broken fixtures, addressing pest issues, or repairing appliances.
💰 Review Borrowing and Insurance Costs
Interest on your investment loan, ongoing loan account fees, and borrowing costs are typically deductible. Additionally, insurance premiums for building, contents, landlord liability, and loss of rent can also be claimed.
📋 EOFY Checklist for Property Investors
✅ Identify immediate and long-term deductible expenses
✅ Apportion expenses for part-time or partial-use properties
✅ Complete repairs and maintenance before June 30
✅ Review and claim eligible borrowing and insurance costs
✅ Maintain detailed records and receipts for all expenses
Need Assistance?
At Mortgage Matrix, we're here to support you in optimizing your property investment strategies. Whether you need guidance on refinancing, expanding your portfolio, or understanding your tax obligations, our team is ready to assist.
Contact us today to ensure you're making the most of your property investments this financial year.
Article written by
Jasmine Miller
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