What is Depreciation?
Depreciation is in relation to new investment properties and is a tax deduction that allows property owners to offset their investment properties reduction in value from their taxable income. Australian law allows investors to claim tax deductions on both the decline in value of the properties structure and items considered permanently fixed to the property and the decline in value of plant and equipment assets found within it (stoves, dishwashers, air conditioners, carpets and blinds).
Is my home too old to claim depreciation
No. If your residential property was built after July 1985, you can claim both building allowance and plant and equipment. If construction on your property was commenced prior to July 1985 then you can only claim depreciation on plant and equipment.