Recent Changes to Property Depreciation Rules in Australia

Quick Answer

Recent changes to property depreciation rules in Australia primarily affect investors in second-hand residential properties. Since 1 July 2017, investors acquiring such properties cannot claim Division 40 depreciation on pre-existing plant and equipment. This change aims to prevent double-dipping by successive owners. However, Division 43 capital works deductions remain unaffected. Consult your accountant for specific advice.