Rental Deduction Wizard Australia — Maximise Your Tax Deductions
Step through your rental property expenses and categorise them correctly for tax. Avoid common ATO traps — initial repairs, travel expenses, second-hand assets.
PropertyExpensesReviewResults
01 —PROPERTY DETAILS
Property & income
Determines which traps apply (travel restriction and second-hand Div 40 for residential).
Total rent you expect to receive (or received) this financial year.
Used to compute your marginal tax rate and the tax saving from deductions.
100% if genuinely available for rent all year. Lower if holiday home / mixed private use (TR 97/23).
Why this matters:
- Property type determines which ATO traps apply (residential vs commercial).
- Your other income sets the marginal tax rate used to calculate how much tax you save from each deduction.
- Income-producing % controls private-use apportionment (TR 97/23).
Tax Accuracy & Sources
This calculator is an estimate tool and may not cover all personal circumstances. For state-based taxes, confirm details with your state or territory revenue office.
What expenses can I claim on my rental property?
You can claim expenses that relate to producing rental income, including loan interest, council rates, insurance, repairs and maintenance (not initial repairs), property management fees, and depreciation (Div 40 plant and equipment, Div 43 capital works).
What is the difference between repairs and improvements?
Repairs fix wear and tear and are immediately deductible. Improvements or replacements of the whole asset are capital works (Div 43, 2.5% per year). Initial repairs on purchase-time defects are capital and NOT immediately deductible (TR 97/23).
Can I claim travel to inspect my rental property?
No. Since 1 July 2017, travel expenses related to residential rental properties are no longer deductible (s 26-30 ITAA 1997). This includes flights, accommodation, and car expenses for property inspections.