A depreciation schedule is not always a once-only document.
It may need to be updated when something material changes at the property.
Common reasons to update include:
- Kitchen renovation
- Bathroom renovation
- New flooring
- New air conditioning
- New appliances
- Extension or structural works
- Commercial fit-out upgrade
- Tenant fit-out changes
- Scrapping or demolition
- New common property works
- Change from private use to rental use
- Change from rental use to business use
- Purchase of additional assets
- Updated construction cost information
For commercial owners, updates may be needed more often because fit-outs, tenants and capital expenditure can change regularly.
An outdated schedule may cause missed deductions or incorrect claims. For example, if an investor installs a new air conditioner but never tells their accountant or updates their schedule, that asset may not be depreciated correctly.
Koste.ai can help property owners keep track of property changes and identify when a report update may be required.