As June 30 approaches, savvy rental property investors know it’s the perfect time to get their finances in order and uncover every possible tax-saving opportunity. Whether you’re a seasoned investor or new to the game, here are some timely, practical end-of-financial-year tax tips from the Real Property WA team.

1. Get Professional Advice Early

A qualified accountant is one of your most valuable assets come tax time. They can guide you on structuring your investment portfolio, understanding your obligations, and making the most of strategies like negative gearing.

With recent clarity from both state and federal governments indicating that negative gearing is here to stay, investors can now plan with greater confidence and long-term stability in mind—especially valuable in the evolving WA property market.

2. Act Before June 30

The timing of your financial decisions can make a big difference. Rental income and capital gains are taxed in the year they’re received—so if you sell a property before June 30, the CGT applies this financial year. Selling after June 30 pushes that liability into the next financial year, giving you more time to plan.

We’re also heading into the quieter winter months—typically a slower period for property sales. Homes can take longer to sell, and winter lighting and weather conditions don’t always show properties at their best. If selling is on your radar, it may be wise to use this time to invest in repairs and upgrades. This not only improves your tax position (repairs may be deductible), but helps ensure your property is market-ready when buyer activity picks up again in spring.

Also consider:
– Completing maintenance and improvements now to maximise deductions
– Prepaying loan interest if your lender allows
– Installing strategic upgrades like a complete home filtration system, which can appeal to tenants and future buyers alike

3. Keep Your Records Tight

Accurate record-keeping is non-negotiable. Gather all documentation for:
– Income earned (including bond and rent)
– Expenses (like interest, rates, insurance, maintenance, and repairs)
– Improvements and depreciable assets

A depreciation schedule is essential. Hiring a quantity surveyor to prepare one ensures compliance and maximises your claims. The cost is tax-deductible and can pay for itself in returns.

4. Know What You Can Claim

You can claim a wide range of deductions, including:

• Property management fees
• Council and water rates
• Insurance
• Repairs and maintenance
• Advertising for tenants
• Loan interest
• Depreciation on assets like carpets, appliances, and even home filtration systems
• Capital works deductions for structural improvements (claimed over time)

Example: Complete Home Filtration Systems
The cost of installing a water filtration system can be claimed as a capital expense, making it tax-deductible. Additionally, landlords can depreciate the system over time, allowing for ongoing tax savings. The annual cost of replacing system filters is approximately $1 per day, which is also tax-deductible maintenance, further boosting the financial tax claim for the property owner.

Always check with your accountant to ensure you’re claiming correctly. Keeping accurate records and receipts is key to ensuring you’re maximising your tax deductions and complying with ATO guidelines.

5. Stay Informed, Stay Ahead

Tax rules can change, so staying updated is key. The ATO’s Tax Time Toolkit for Investors is a great resource, and speaking with professionals—like the team at Real Property WA—can help you take control of your investment strategy and reduce stress during tax season.

Real Property WA: Real People, Real Advice

If you need help preparing for EOFY or want to make the most of your investment, speak to the team who knows the WA rental market inside and out.

Your property manager at Real Property WA is also here to help. If you’re unsure about timing, upgrades, or need end-of-year statements, speak with us today. We’re here to guide you and support your investment journey every step of the way.

Disclaimer: This article is for general informational purposes only and does not constitute financial, tax, or legal advice. Always seek professional advice specific to your circumstances from a qualified accountant, financial advisor, or legal professional.