• Rental property deductions – supporting information

    Here's a list of the documents and information we usually need to process a private ruling request or objection about rental property expenses. If you provide supporting information this will reduce the time it takes us to process your request.

    If you want to apply for a private ruling about the deductions you can claim for a rental property, you need to:

    • complete and submit the relevant private ruling application form (for tax professionals or not for tax professionals)
    • provide the supporting information listed below.

    If you want to lodge an objection about the rental property deductions you can claim for a rental property, you need to:

    • complete and submit the relevant objection form (for taxpayers or tax professionals)
    • provide the supporting information listed below.

    Note: Check first whether your question is answered on our website.

    See also:

    Supporting information

    Note: If you've previously provided us with any of the information listed below, you don't need to provide it again.

    The information we need for a private ruling or objection about rental property deductions includes:

    • the date when the property was purchased, and the purchase price
    • details of the owner or (owners) of the property including  
      • the owners' names
      • whether the property is owned as joint tenants or tenants in common
      • the percentage ownership interests according to the title
       
    • the date the property was first made available for rent
    • whether the property was available for rent for the entire income year for which you are requesting the private ruling or lodging the objection
    • details about who organises the renting of the property – for example is it privately managed or managed by an agent
    • details about your relationship to the tenants – for example family, friend, business associate, or landlord/tenant
    • whether the property is leased for a market rate of rent
    • details about how the rental charge is determined
    • details about any periods when the property has been vacant and why
    • details about when you have personally used the property over the last three years
    • details about any other times when the property has been occupied but no rent charged.

    If you're lodging an objection request, you should also provide evidence of the above details.

    Interest expenses

    If you're asking about the deductibility of interest expenses in relation to your rental property, you should also provide details about:

    • how the purchase of the property was financed
    • the kind of loan you chose to finance the purchase – for example overdraft, split loan, fixed interest or interest only loan
    • the name or names against the loans for the property
    • whether the names against the loan have changed since you purchased the property
    • refinancing, if the loan has been refinanced – for example the date of refinancing and the type of original loan, and the amount outstanding at the time of refinancing
    • any use of the loan funds other than for the purchase of the rental property.

    If you're lodging an objection request, you should also provide evidence of the above details.

    Repairs

    If you're asking about the deductibility of expenses relating to repairs to your rental property, you should also provide details about:

    • who paid or will pay the expense
    • the circumstances leading to the repair, including when the defect was identified
    • the item repaired, including
      • what it is used for
      • what the item was originally made from or what it consisted of
      • whether you are depreciating the asset
       
    • the work undertaken, including
      • whether the whole item was repaired or only a part or section of it
      • whether the item is freestanding or permanently fixed to the building when the item was originally acquired or built
      • the condition of the item when it was acquired or built
      • any modifications done during the repair, and any advantages the new work has over the original
      • who carried out the repair
      • what materials were used to repair the item
      • any other work undertaken at the same time
       
    • any insurance or other type of payment you will receive for repairing the item.

    If you're lodging an objection request, you should also provide evidence of the cost of the repair – for example invoices, receipts, bank or credit card statements.

    Next steps:

      Last modified: 11 Jul 2017QC 18972