What is Tax Depreciation?

Depreciation is an accounting method used to calculate the loss in value of a building and its fixtures and fittings as the property ages. A Tax Depreciation Schedule allows commercial property owners to claim this loss as a deduction on their tax return every year until the asset’s cost is fully written off.

For many commercial property owners, this can mean thousands of dollars in annual tax savings and a substantial improvement in overall Return on Investment (ROI). If you have owned your property for several years, the schedule may even be applied retroactively, potentially allowing your accountant to amend up to two previous tax returns—resulting in an immediate rebate from the Australian Tax Office (ATO).

What Can You Claim?

Tax Depreciation covers:

Capital Works (Division 43): The construction cost of the building itself, including structural elements like:
- Walls
- Floors
- Roof
Plant and Equipment (Division 40): Removable assets and fittings such as:
- Fire Services
- Car Parks
- Machinery
- Common Areas
- Office Fit-Outs
- Kitchenettes

Our experienced team ensures no potential deduction is overlooked, maximising your claims.

Understanding the benefits of Tax Depreciation can increase your Return on Investment.

Below are some examples of typical deductions we’ve found for our commercial clients:

Property Type	Commercial Unit	Office/Warehouse	Office & Fitout	Industrial Warehouse
Property Description	Warehouse (tilt-up with mezzanine)	Office (two floors) and Warehouse	Professional Services Office	Office (two levels) and Three Warehouses
Size (m²)	214m²	541m²	165m²	2,744m²
Year Constructed	2016	2007	2004	1987, 1988, 1995, 2004
Deductions (first year)	$7,147	$19,118	$20,061	$36,165
Refund*	$2,144	$5,735	$6,018	$10,849

^{*Based on a business tax rate of 30%}

Explore Deductions in Action

Take a look at our 3D Virtual Tour for a commercial warehouse to see how deductions apply:

Click and drag to explore different areas of the room

Blue items come under Capital Works (Division 43)
Green items come under Plant & Equipment (Division 40)

How does it work?

Site Inspection
We conduct a detailed site inspection to assess the structure, fittings, and furnishings of your property.

Schedule Preparation
Our qualified Quantity Surveyors prepare a comprehensive depreciation schedule detailing your deductions for up to 40 years.

Claim Deductions
Your accountant applies these deductions to your tax return annually, improving your cash flow and ROI.

Why Choose Us?

Industry Experts: Our qualified Quantity Surveyors specialise in maximising tax deductions for commercial properties.
Quick Turnaround: Receive your schedule in as little as 5-7 business days.
Free Depreciation Estimates: We provide a complimentary estimate of your potential tax deductions before you proceed with ordering a schedule.
Outstanding Customer Service: With a 4.9-star rating on Google Reviews, we are trusted by clients across Australia for our reliable, friendly, and responsive support.
Comprehensive Coverage: Every eligible deduction, from structural costs to plant and equipment, is included in your schedule.