Buying Property: Tax-smart Tips for your Investment

The Australian Tax Office has published some tips regarding buying property. This is part of a three-part series summarising those tips, blog posts are also made on advice on owning property and selling a property.

Your first priority should be to set up an easy-to-use record-keeping system. This can be as simple as a spreadsheet on excel or professional software.

Keep records of every transaction over the period that you own the property. These records should include contracts of purchase and sale and conveyancing and loan documentation.

Keep records of the costs of buying the property such as legal fees, stamp duty on the transfer and initial repairs. You can’t claim an immediate tax deduction for these, but they will reduce the tax you pay when you sell the property.