ATO focuses on rental property owners.
With Tax Time 2016 just around the corner, the ATO is encouraging rental property owners to check out the information on its website to better understand their obligations and get their claims right.
Assistant Commissioner Graham Whyte says Tax Time can be tricky for rental property owners. “Our message to any rental property owners having a hard time understanding their obligations is that we’re here to help,” he says.
“The best place to find out what you can claim and which records you’ll need is on our website.” Whyte says the ATO will be paying close attention to excessive interest expense claims and incorrect apportionment of rental income and expenses between owners.
“We are also looking at holiday homes that are not genuinely available for rent, and incorrect claims for newly purchased rental properties,” Whyte says. “If you are claiming deductions for your rental property, be sure to include all your rental income and make sure that your property was genuinely available for rent when the expense was incurred.”
The ATO is advising that taxpayers must also make sure to apportion any deductions to take any private use into account, and that there are records on hand for the claims you make.
“The ATO’s ability to identify incorrect rental property claims is becoming more sophisticated due to enhancements in technology and the extensive use of data.”
For more ATO information on residential rental properties, click here.