With the End of Financial Year (EOFY) fast approaching it is always a good time to review whether you are doing all you can to be tax-compliant but also whether there are any opportunities to increase investment property returns. Here are some things to think about:
End of Financial Year Tips for Landlords
Do you have a depreciation schedule?
The report for a stand-alone house is generally around $595 and pays for itself easily in the first year even on many older houses. Your Property Manager can arrange this for you.
Do you have an Accountant?
Your Property Manager should be able to refer you to an Accountant that specialises in property. Having the right Accountant on your team is really important.
Are you capturing all the income you can?
Are you making sure all water usage is being invoiced to your tenants that you can on-charge at your property?
Are you capturing all the expenses you can?
If you are paying your building insurance, landlord insurance, rates and water bills yourself, do you have them saved in a handy location ready for your Accountant, along with your bank statements showing mortgage costs?
Have you been saving each statement and copies of invoices from your property manager?
If you’ve got your statements, it’s time to get them ready and organised for your accountant.
Does your Property Manager issue an End of Financial Year Statement?
While this is not a compulsory statement and is only a summary of all other statements issued throughout the financial year, it’s good to save it straight away so you have it ready at hand when you need it.
We hope this information is of value and helps you prepare and make sure you capture all costs to maximise your investment return. If you would like to find out more about what you can do as a landlord for the end of financial year, get in touch with a property manager at Beyond Property Management today.