Are you prepared for EOFY?

The end of financial year is fast approaching, have you got your Investment Property paperwork organised?

Are you prepared for EOFY? Your property tax checklist

Blogger: Ryan Crawford, founder & group director, Crawford Realty 
 As the end of financial year draws closer, it’s important to ensure your paperwork is in order ahead of your visit to your accountant.

Being prepared at tax time offers many benefits. It not only reduces your accountant’s bill but enables your return to be processed quickly, allowing future lenders to access your up to date financials and approve your next purchase faster.

The comprehensive checklist below is one I use to ensure I’m fully prepared at tax time and maximising all the deductions available. A property investment specialist accountant should also be able to provide you with a list of what they require.

Portfolio information:
•    Copies of your sale contracts which show the price and date the investment properties were purchased
•    Copies of your settlement statements for those properties purchased during the financial year
•    Copies of the depreciation schedules for each property – if you don’t have these you will need to arrange immediately with your accountant
•    All bank statements for the financial year showing the rental income received over the period and the interest paid on the mortgages

Evidence of the all the expenses incurred during the financial year in relations to the properties in your portfolio. These may include:
•    Administration and accounting fees
•    Property management fees
•    Legal fees
•    Quantity surveyors’ fees
•    Insurance costs
•    Advertising costs for marketing the property to tenants
•    Body-corporate fees and charges if any of the properties are strata titles
•    Land tax and council rates
•    Lease agreement expenses
•    Repairs, maintenance and servicing costs
•    Cleaning, gardening and lawn mowing costs
•    Electricity, gas and water bills (only those incurred by you and not the tenants)
•    Pest control
•    Any stationery, postage and telephone calls
•    Travel and car expenses (usually in the form of a log book, with relevant receipts)

I recommend keeping a file on each property and file all receipts and documents away as they come in. Being thorough and organised will not only save you time and money, it will also optimise your returns and will put you in the best position possible to continue growing your portfolio successfully in the new financial year!

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Call Ray White Toronto today to discuss the benefits of having your Investment Property managed by a dedicated team who can make your tax time as stress free as possible!

Speak to Rebecca Wood, our Business Development Manager on 4959 6577

Posted by Reception Toronto