The Australian Taxation Office (ATO) is increasing scrutiny on rental property claims, targeting accuracy and compliance in the upcoming tax season. Recent audits revealed errors in 90% of returns, therefore the ATO has employed a data-matching protocol with mortgage lenders.
You should now be prepared as the ATO will scrutinise various claims, including mortgage-interest deductions and common mistakes in property-related claims. Property investors, especially those in accounting, are urged to be cautious, particularly with repairs and maintenance claims.
Meticulous record-keeping is emphasised, with a focus on substantiating all expenses. Deductions for low or no-rent leases will be restricted. To navigate this, investors must adhere to guidelines and exercise diligence. Talk to your team at Roberts + Morrow on 02 6774 8400 or email firstname.lastname@example.org if you have any questions or queries on this.