How this usually works
A good property investor accountant process starts with a quick review of your position: ownership structure, number of properties, loan setup, short‑stay vs long‑term, and pending deadlines (lodgements, settlements, refinances, renovations).
Work typically moves through three layers:
- Immediate triage: fix bank feed gaps, reconcile rental statements, capture interest splits, and prepare any urgent BAS or tax lodgements.
- Process design: standardise how rent, expenses and loan data flow into your software (e.g. Xero + Dext/Hubdoc). Add rules for management fees, strata, rates and insurance. File QS reports for depreciation.
- Ongoing review: quarterly or half‑yearly check‑ins, year‑end tax schedules, pre‑sale CGT planning, and land tax reviews by state.
Need help now? If you have overdue returns, a refinance in progress, or a property about to settle, get in touch and we will prioritise the critical steps first.
Key deductions and timing rules (Australia)
- Interest on investment loans is generally deductible when funds are used to produce rental income; watch for mixed‑purpose loans and offset redraws.
- Repairs vs improvements: repairs to fix wear and tear are deductible; improvements are capital and often depreciated or included in cost base.
- Depreciation: Division 43 (capital works) and Division 40 (plant and equipment). A quantity surveyor report often unlocks significant deductions.
- Borrowing costs: typically deducted over five years or the loan term if shorter.
- Travel: residential property travel deductions are largely disallowed for individuals and SMSFs; commercial property can differ.
- GST: long‑term residential rent is input taxed (no GST and no credits). Commercial property and some short‑stay activities may require GST registration.
- Land tax: state‑based thresholds, surcharges and trust/company rules vary—review annually if your holdings change.
- CGT: the 50% discount can apply to individuals and trusts if held >12 months; companies don’t get the discount. Keep strong records for cost base adjustments.
If you use short‑stay platforms, income timing, GST and council rules can differ from standard rentals. Ask for advice before scaling short‑stay listings.
Structures and ownership decisions
Your ownership structure affects risk, cash flow, land tax and CGT. Consider these common paths:
Individual
Simple, potential access to 50% CGT discount, negative gearing can offset other income. Land tax and income may concentrate in one person.
Trust
Distribution flexibility and potential asset protection. Complex land tax treatments and compliance—needs careful setup and ongoing management.
Company
Flat tax rate and potential separation of risk, but no 50% CGT discount. Often used for development or commercial activity.
SMSF
Strict rules, concessional tax in pension phase. Lending (LRBA) rules and expenses are tightly governed—specialist advice essential.
Changing structure after purchase can be costly due to duty, CGT and finance changes. It’s best to get advice before you sign a contract.
Software and workflow for investors
- Accounting: Xero or MYOB with bank feeds for loan and operating accounts.
- Document capture: Dext or Hubdoc for rates, insurance, strata and utilities.
- Property management: if using agents, import monthly statements and year‑end summaries consistently; self‑managers should log rent and bond carefully.
- Short‑stay: standardise payout reporting and merchant fees; track cleaning and consumables separately.
- SMSF property: maintain segregation and documentation to meet audit requirements.
We can set up a simple chart of accounts per property, with tracking categories for state, property type and manager, so your reports map directly to your tax schedule.
What to compare before you commit
Scope
Confirm inclusion of end‑to‑end work: reconciliations, depreciation schedules, land tax checks, pre‑sale CGT planning, and year‑end rental schedules.
Software fit
Look for fluency in Xero/MYOB, bank rules, document capture and data from property managers or short‑stay platforms.
Turnaround and communication
Agree on reporting cadence (quarterly/annual), how urgent requests are handled, and your single point of contact.
Commercial fit
Compare fixed fees vs hourly, inclusions (e.g. land tax review), and advisory availability for purchase, refinance or sale events.
Best next steps
- List your properties, state, purpose (residential/commercial/short‑stay) and settlement dates.
- Gather loan statements, rental statements, and any QS depreciation reports.
- Decide your priority: tax efficiency, cash flow clarity, refinance readiness, or sale planning.
- Choose the right pathway: bookkeeping for investors, tax for investors, or payroll if you employ staff.
If you are unsure, send us a brief summary using the form and we will recommend the most practical starting point.
Frequently asked questions
What does a property investor accountant do?
They turn your rental and loan data into accurate tax schedules, optimise deductions (including depreciation), manage land tax considerations, plan for CGT on sale, and keep your records audit‑ready.
What can I claim on a rental property?
Interest, property management fees, rates, insurance, repairs (not improvements), strata, and depreciation via Division 40/43. Borrowing costs are typically spread over five years.
Do I need to charge GST on rent or Airbnb?
Long‑term residential rent does not include GST and you cannot claim related credits. Commercial and some short‑stay activity may be subject to GST when the threshold is reached—seek advice.
How does negative gearing work?
Rental losses may offset other income. We model cash flow and long‑term tax outcomes so your strategy balances deductions and growth.
When is a depreciation schedule worthwhile?
Often for newer builds or substantial renovations. A quantity surveyor report can significantly increase legitimate deductions.
Which ownership structure should I use?
Individuals can access the 50% CGT discount; trusts add flexibility; companies suit some commercial or development cases; SMSFs have strict rules. Get advice before purchase.
What records should I keep?
Contracts, settlement statements, loan docs, monthly rental statements, invoices for rates/insurance/repairs, QS reports, and renovation details (to support capital works and cost base).
Can you help if I’m behind?
Yes. We can triage overdue BAS or tax returns, reconstruct records from bank feeds and agent statements, and prioritise deadlines.