Sunny Future on the Horizon for Scion Property Investors
Property Investors of the stylish Scion Southport apartments are enjoying a boost to their annual cash flow, plus a reduction in taxes of up to $15,000 per annum due to depreciation allowances.
The Scion complex contains 24 apartments plus a café located in the heart of Southport: ideal for holiday makers and professionals seeking a sea change.
The one and two bedrooms open-plan apartments are available with or without furnishing. Common shared assets include a 2m rooftop pool and outdoor dining and entertainment area, furniture, barbecue, and tv, plus car parking, and fire systems.
As these are newly constructed apartments, depreciation allowances would apply for both the building and plant and equipment inclusions.
Our experienced Property Tax team prepared comprehensive depreciation report for the property owners. This involved our Property Tax Analyst conducting a thorough inspection of the apartments, roof top entertainment, car parking and retail café areas.
All specific plant and equipment items including those commonly shared by property owners were analysed to determine the depreciation value. These included air conditioners, carpets, kitchen equipment, fans, hot water installations, alarm systems and laundry drying. Other items such as lifts, pool equipment, vehicle controls, furniture, and barbecues, gave owners a share of the depreciation value.
On some multi-unit complex, retail and commercial spaces are included in the strata, enabling property owners to claim a share of the depreciation allowances for these areas. However, in this case, the café was on a separate strata, so owners of the apartments were not entitled to depreciation on the retail assets.
Our Property Tax Analyst prepared a separate commercial depreciation report for the café owners and tenants.
Savvy property investors are making the most of depreciation allowances to reduce taxes and safeguard a “sunny” future for their investment. Order your comprehensive property tax depreciation schedule here.