Practical tax help for property investors
Owning an investment property should not mean spending tax time trying to work out what you can claim, whether something is a repair or an improvement, or whether you have kept the right records.
At Lockyer Accounting & Tax, we help property investors with rental property tax returns, loans and interest, depreciation, renovations, Capital Gains Tax and the more complicated issues that arise when the use or ownership of a property changes.
Based in Hatton Vale and servicing the Lockyer Valley, with online appointments available throughout Queensland.
We can help with
Rental property tax returns
Annual rental schedules, income, deductions and supporting records.
Loans & interest
Investment loans, refinancing, redraws, offsets and mixed private and investment borrowing.
Repairs, renovations & depreciation
Working out what can be deducted now, what is claimed over time and what needs to be retained for CGT.
Capital Gains Tax
Purchase records, improvements, ownership history, former homes and property sales.
Property structures
Tax considerations when purchasing individually, jointly or through an investment structure.
Property portfolios
Organised tax and accounting support where you own multiple properties.
More than filling in a rental schedule
Rental property tax can become complicated very quickly when loans change, substantial work is done to the property, private use is involved or the property is eventually sold.
Your property tax work is overseen by Sophie Chequer, Registered Tax Agent, with experience across rental property taxation, investment structures and Capital Gains Tax. We look beyond this year's tax return and consider the records and decisions that may matter later.
Three areas where rental property tax commonly goes wrong
Interest & loans
Having a loan secured against a rental property does not automatically make all of the interest deductible. What matters is how the borrowed money was used.
- Original investment loans
- Refinances and loan splits
- Redraws and offset arrangements
- Mixed private and investment borrowing
- Borrowing used for renovations
Repairs, improvements & depreciation
A repair is not always an immediate deduction. Repairing ordinary wear and tear can have a different tax treatment from replacing an entire item or substantially improving what was there before.
Capital Gains Tax records
The biggest problem with long-held property is often not the tax calculation — it is missing paperwork.
- Purchase and settlement costs
- Stamp duty and conveyancing
- Renovations and structural improvements
- Periods of private and rental use
- Sale and selling costs
Buying, refinancing, renovating or selling?
Property tax advice is often most useful before the transaction happens. Talk to us when you are considering:
Buying another property
We can discuss the taxation implications of proposed ownership and work alongside your solicitor, finance broker or financial adviser where their advice is required.
Refinancing or using equity
Moving borrowed money between private and investment purposes can affect future interest deductions.
Major renovations
Knowing what records to keep before work starts makes the tax treatment easier to establish later.
Selling a property
We can help identify the records required for the CGT calculation and consider the tax implications of the proposed sale.
When a rental property has more than one life
Not every investment property is simply purchased, rented continuously and eventually sold.
Turning your home into a rental
If you live in a property and later rent it out, the annual rental deductions may be straightforward but the eventual CGT treatment can be considerably more complicated. In general, you're treated as having acquired the property at its market value on the day it first became income-producing — and if you sell within 12 months of that date, the 50% CGT discount won't be available. Tell us when you moved out, when the property first became income producing and about any later changes in use.
Moving into your investment property
Living in a former investment property later does not automatically erase its earlier tax history. The eventual capital gain is generally worked out proportionally, based on the number of days the property was rented versus the number of days it was your main residence — the 50% discount can still apply to the taxable portion if you've owned the property for more than 12 months in total. Keep the original acquisition records even after the property stops being rented.
We work from what actually happened with the property and determine the tax treatment from there.
Buying residential property after 12 May 2026?
Australia's rules for negative gearing and Capital Gains Tax are changing.
The treatment of established residential investment property acquired after 12 May 2026 can be different from property acquired before that date, with further changes applying from 1 July 2027.
If you are purchasing another investment property, selling a long-held property or considering how the changes affect an existing portfolio, speak with us about the tax position relevant to your circumstances.
Book a property tax appointmentKeep the accounting simple, even when the portfolio grows
Whether you own your first rental or several properties, the fundamentals remain the same: clear records, correct tax treatment and information that can still be understood when the property is eventually sold.
Where a property is held through a trust or other investment structure, we can also assist with the associated accounting and tax compliance.
Investment & Trust AccountingRental property checklist
A practical list of what to have on hand. If something is missing, we will tell you what we need and why — you do not need to gather everything perfectly before contacting us.
Property details
- Property address and ownership
- Purchase date and purchase price
- Whether it was rented for the full year
- Any redraws made on the mortgage
- Last year's depreciation schedule, if you have one
Income
- Rent received
- Water or other amounts reimbursed by the tenant
- Bond amounts retained in place of rent
Expenses
- Council and water rates, land tax, insurance
- Body corporate, pest control, cleaning and gardening
- Repairs and maintenance (including smoke alarm compliance)
- Interest and bank fees
- Advertising and property management fees
Assets & depreciation
- Assets purchased over $300 — cost, purchase date and expected useful life
- A quantity surveyor's report, if one has been prepared
Buying or selling this year?
- Purchase or sale contract and settlement statement
- Conveyancing documents and borrowing costs
- Selling costs, and before/after photos of any capital works
Private or family use?
- Family or friends occupying the property
- Rent charged below market rate
- Any personal use of the property
- Periods it wasn't available for rent
- Short-term letting (e.g. Airbnb)
Rental property tax questions
What expenses can I claim on my rental property?
Common deductions can include eligible interest, property management fees, council and water charges, insurance, body corporate costs and repairs and maintenance. Some expenditure must instead be claimed over time, treated as capital or apportioned where there is private use.
Do I need a depreciation schedule?
Not every rental property needs a new depreciation schedule. A quantity surveyor's report can be useful where eligible construction costs, capital works or depreciating assets need to be identified. We can discuss whether one is likely to be worthwhile for your property.
What happens if I turn my home into a rental?
Rental deductions become relevant once the property is used to produce income, but the change can also affect the eventual Capital Gains Tax calculation. Keep a clear timeline of when you lived in the property, when you moved out and when it first became income producing.
Can you help before I buy another investment property?
Yes. We can advise on taxation and accounting considerations including proposed ownership, record keeping and loan structure from a tax perspective. Legal, finance and financial-product advice should be provided by the appropriate adviser, and we can work alongside them where required.
I don't have all my old property records. Can you still help?
Yes. Start with what you have. We can identify the important gaps and work out what records may still be available through solicitors, conveyancers, property managers, lenders or other sources.
Property is often only one part of the tax picture
Important information: The information on this page is general taxation information only and does not take into account all of your individual circumstances. Property taxation depends on the facts of each situation. Obtain advice relevant to your circumstances before relying on general information when making a significant property or investment decision.
Get in Touch
07 5317 6040
3/2 Summerholm Rd, Hatton Vale
PO Box 396, Gatton QLD 4343
Mon to Fri - 8am to 4pm
Saturday appointments available on request