Property investors and businesses will often engage a specialist quantity surveyor to prepare a tax report on capital works and depreciation deductions available to them under the tax law in respect of their income-producing properties – for example, a rental property, office building or factory.
A thorough physical inspection of the property by a quantity surveyor plays a vital role in this process in order to, amongst other things:
We have become aware that some quantity surveyors are promoting tax depreciation reports that do not include a physical inspection of the property due to COVID-19 precautions.
Usually the reports are provided, with an offer to do an inspection at a later time when it is possible to do so.
However, in some cases, no offer of a site inspection is made at all.
Where a physical inspection of premises is not performed, this increases the risk of deductions being missed or errors being made. This could result in costly adjustments if a taxpayer has to subsequently amend their tax return or is audited.
Note: Please contact our office if you require more information about using quantity surveyor tax depreciation reports.