Property Depreciation Calculator
Estimate the tax deductions investors can claim on an income-producing property through Division 43 (capital works) and Division 40 (plant & equipment), and how much that saves at your marginal tax rate.
Your numbers
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Typical assumption. Edit if you know your own numbers.
Year-1 tax saving
$0
Total year-1 deduction
$0
Div 43 – building @ 2.5%
$0
Div 43 – renovations @ 2.5%
$0
Div 40 – plant & equipment
$0
Extra cash in pocket / week
$0
New builds and commercial property retain full Div 40 access. Always commission a quantity surveyor's tax depreciation schedule (~$500–$800, itself deductible) to substantiate the claim.
How this is calculated▾
Division 43 (capital works): 2.5% straight-line for 40 years on the building's original construction cost — residential built after 15 Sept 1987, commercial after 20 July 1982. Post-1992 renovations always qualify. Division 40 (plant & equipment): depreciated on ATO effective-life schedules — we use a 15% blended year-1 rate as a first approximation. Established residential purchased after 9 May 2017 loses Div 40 on second-hand items. Tax saving = total deduction × your marginal rate, apportioned by ownership share.
General information only. This tool provides general information and does not consider your personal circumstances. It is not financial, tax, legal or credit advice. Rates, thresholds and rules change. Verify current figures with the ATO, your state revenue office or a licensed adviser before acting.
For real tax claims, get a quantity surveyor's depreciation schedule (this estimator is indicative only).