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Edited version of private advice
Authorisation Number: 1051987422536
Date of advice: 30 May 2022
Ruling
Subject: Deductions - rental property expenses
Question
Are you entitled to a deduction for the repairs of a rotten beam and rusted brackets carried out at your rental property?
Answer
Yes, having considered your circumstances and the relevant factors we are satisfied that the repairs on your rental property meet the requirements in Taxation Ruling TR 97/23 and is an allowable deduction under section 25-10 of the Income Tax Assessment Act 1997 in the 20XX income year.
Further information about repairs can be found by searching QC 23635 on ato.gov.au.
This ruling applies for the following period:
Year ended 30 June 20XX.
The scheme commences on:
1 July 20XX.
Relevant facts and circumstances
You own a property (the property).
For a substantial period of time the property has been rented out by you.
You are planning to do some repairs and maintenance to the property due to its wears and tears over the years.
You received a quote of $XX, XXX for repairs. This included the following:
• Support the side of the house/deck/stairs.
• Build a steel scaffold on the outside of the house to approx.
• Lift the house, remove the rotten beam, cut off the rusted steel brackets on top of the steel posts.
• Supply & fit a new timber beam from the front to the back.
• Paint beam.
• Bolt to new steel brackets.
• Lower house back onto the beam.
• Remove scaffold & supports.
Relevant legislative provisions
Income Tax Assessment Act 1997 section 25-10