You Guide to Capital Gains & Depreciation Schedule Examples

What are The Best Equity Home Loans? An equity home loan is a mortgage that is taken over the remaining equity in your home. Equity is the amount of the property that you own, which isn’t owing to the bank. It is essentially the e between your existing mortgage and the value of your home [...]

Buying your first property is a big deal. Buying your first investment property is even harder. You have to get all the right information and advice before you take the plunge. Arm yourself with as much knowledge as you can and you will buy a good property that will go up in value over time [...]

Effective real estate investment tips, when followed properly, can help turn the investment roller coaster into something a lot more predictable, especially in this challenging real estate environment. Though the current market is judged to be somewhat down, it is always the case that it will eventually rebound. Be prepared when it does to move in.

Are you maximising your common property benefits? Common property refers to the areas within an apartment complex or development that are shared between owners. In general, common areas are designated areas of a building or land that are available for use by all occupants, tenants or owners. More complicated common areas exist whereby access to [...]

A: The low-value pool is an effective rule allowing an increased depreciation deduction available to most investment property owners. Any asset in a rental property which costs less than $1000 can be included in the low-value pool and written off at an accelerated rate of 18.75% in the first year of ownership and 37.5% each [...]

Q: What is low-value pooling? A: Low-value pooling is a way of depreciating plant items which cost less than $1000 or have an un-deducted cost of less than $1000. The following types of depreciable assets can be allocated to a low-value pool: Low-cost assets – A low-cost asset is a depreciable asset that has an [...]

As you work towards your investment goals you must embrace the future and do all you can to ensure you attain your goals, despite the challenges you may face. There is one major key factor in determining whether or not you will reach your financial goals. There are many things you can do every day [...]

Depreciating asset Effective life in years Carpets – in commercial office buildings 8 – in ten-pin bowling centres 4 -Computers -generally 4 -laptops 3 Curtains and drapes 6 Fire extinguishers 15 Hot water installations for commercial office buildings (excluding commercial boilers and piping)15 Lawn mower- motor 62/3 – self-propeled  5 Library (professional) 10 Motor vehicles [...]

Capital gain on depreciating asset Larry purchased a truck in August 2006 for $10,000 and sold it in June 2008 for $8,000. He used the truck 10% of the time for private purposes. The decline in value of the truck under the UCA system up to the date of sale was $2,000. Therefore, the sum [...]

Capital gains or capital losses only arise from the disposal (ie. sale) of a depreciating asset. A gain or loss will only arise to the extent that you have used the asset for a non-taxable purpose (eg. Private purposes). Capital gains and losses can be calculated using the Guide to Depreciable Assets from the Australian [...]