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  • Prepaid expenses



    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

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    If you prepay a rental property expense, such as insurance or interest on money borrowed, that covers a period of 12 months or less and the period ends on or before 30 June 2019, you can claim an immediate deduction. A prepayment that does not meet these criteria and is $1,000 or more may have to be spread over two or more years. This is also the case if you carry on your rental activity as a small business entity and have not chosen to deduct certain prepaid business expenses immediately.

    For more information, see Deductions for prepaid expenses.

      Last modified: 28 Jun 2018QC 55664