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Property Investors Lose Travel Expense Tax Claims: 2017 Budget

By July 23, 2017No Comments

Source: Property Observer

Investors will no longer be able to claim tax deductions for travel expenses “related to inspecting, maintaining or collecting rent for a residential rental property” from July 1 2017.

Of the nation’s 2 million landlords, about 1.3 million are negatively geared.

The measure is intended to “address concerns that many taxpayers have been claiming travel deductions without correctly apportioning costs”. 

Australia’s 1.3 million-strong contingent of negatively geared landlords will no longer be able to claim travel expenses for inspecting their residential properties.

It also applies for travel to collect rent on a property.

At present, travel-related ­expense claims related to inspections but in reality ‘holidays’ is costing the government more than $160 million a year.

It does not apply to commercial property.

Property management fees for third parties such as real estate agents will remain tax deductible.



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