Australian tax return regarding UK rental income.

[Ruth7862]

I am hoping members resident in Australia but with UK rental income will be along to advise.

 

My son lives in Melbourne and has started renting a property out in the UK. He has done everything right with HMRC registering as an overseas landlord and completing a self assessment tax return in the UK. I have read on the forum that in Australia you can claim for some depreciation on things like the heating system on rental properties but I wondered if this also applied to overseas property. Similarly can you claim deductions for mortgage interest on foreign property as you would for rental property in Australia? I will probably suggest he use an accountant but thought it would be good to have an idea.

[buzzy--bee]

I am hoping members resident in Australia but with UK rental income will be along to advise.

 

My son lives in Melbourne and has started renting a property out in the UK. He has done everything right with HMRC registering as an overseas landlord and completing a self assessment tax return in the UK. I have read on the forum that in Australia you can claim for some depreciation on things like the heating system on rental properties but I wondered if this also applied to overseas property. Similarly can you claim deductions for mortgage interest on foreign property as you would for rental property in Australia? I will probably suggest he use an accountant but thought it would be good to have an idea.

 

Yes you can and we do both of those. You can depreciate almost anything from the building itself to the doormat.

 

Could I ask you please to PM me your sons email address and I will put him in touch with the depreciation company we use. This saves us about $4000 per year in tax. You need a quantity surveyor for depreciation, not an accountant.

 

BB