• Login:
Welcome, Register Here
follow PropertyTalk on facebook follow PropertyTalk on twitter Newsletter follow PropertyTalk on LinkedIn follow PropertyTalk on facebook
Page 3 of 3 FirstFirst 1 2 3
Results 21 to 26 of 26
  1. #21

    Default

    Quote Originally Posted by murraythompson View Post
    Hi Brad

    There isn't much leeway with getting a heat pump as "Repairs and Maintenance" and getting a fully deductible claim. If it is a new item and over $500, then generally it will be "Capital Expenditure". On the plus side, you get to claim depreciation: 20% of the book value each year.

    If you do go down the lease option: just know that it you did an operating lease that converted to buying it at the end, you may need to do an adjustment that would record it as an asset at that point in time - which may negate some of your benefits.

    Unless you can get a heat pump for under $500, then treat it as a capital expense - an asset (and making 4 payments of $499 still makes it an asset ).

    Murray
    Rental Coach
    rentalcoach.co.nz
    Cheers Murray, I appreciate the info

  2. #22

    Default

    Oops, brain fart. Thanks for pointing out.

    Quote Originally Posted by murraythompson View Post
    Hi Nick

    Oddly, the 10 year useful life doesn't calculate as the same as the depreciation rates in the IR265 guide:


    20% Diminishing Value

    or

    13.5% Straight Line (which works out to be 7.4 years).


    Murray
    Rental Coach
    rentalcoach.co.nz

  3. #23
    Join Date
    Mar 2015
    Location
    Brisbane Wellington Auckland
    Posts
    710

    Default

    Quote Originally Posted by BradFromNZ View Post
    Cheers Murray, I appreciate the info
    Have a operating lease where the charge starts at say $2k for the first year then drop's to $50 per year including a service
    You never own the unit.
    :-)

  4. #24
    Join Date
    Mar 2015
    Location
    Brisbane Wellington Auckland
    Posts
    710

    Default

    Quote Originally Posted by murraythompson View Post
    Hi Brad

    There isn't much leeway with getting a heat pump as "Repairs and Maintenance" and getting a fully deductible claim. If it is a new item and over $500, then generally it will be "Capital Expenditure". On the plus side, you get to claim depreciation: 20% of the book value each year.

    If you do go down the lease option: just know that it you did an operating lease that converted to buying it at the end, you may need to do an adjustment that would record it as an asset at that point in time - which may negate some of your benefits.

    Unless you can get a heat pump for under $500, then treat it as a capital expense - an asset (and making 4 payments of $499 still makes it an asset ).

    Murray
    Rental Coach
    rentalcoach.co.nz
    Buy
    The compressor for $500
    The evaporator for $500
    Condenser for $500
    Expansion value for $500
    On separate invoices on separate days
    Ask the supplier to put them all together
    :-)

  5. #25
    Join Date
    Jun 2004
    Posts
    10,222

    Default

    Quote Originally Posted by Beano View Post
    Buy
    The compressor for $500
    The evaporator for $500
    Condenser for $500
    Expansion value for $500
    On separate invoices on separate days
    Ask the supplier to put them all together
    :-)
    Would still be evasion I'm afraid.
    Give it a go but do ask IRD.
    Many people do stuff like this and get away with it. They therefore think it is legit but really they just haven't been audited.

  6. #26
    Join Date
    Aug 2003
    Posts
    7,478

    Default

    Quote Originally Posted by BradFromNZ View Post
    Yea I remember hearing something about having to provide a heat source or something? Even if that is the case, that doesn't mean it can be claimed back though does it?

    $1995 sounds pretty good. Who did you go with for that?
    A local business in Kapiti recommended by the property manager.

    cheers,

    Donna
    PropertyTalk Blogs - property articles

    BusinessBlogs - the best business articles are found here




 

Thread Information

Users Browsing this Thread

There are currently 1 users browsing this thread. (0 members and 1 guests)

Similar Threads

  1. Heat pump or fireplace?
    By Cass in forum Property Investment (NZ)
    Replies: 6
    Last Post: 12-02-2018, 10:31 PM
  2. Heat pump
    By Livie in forum Property Investment (NZ)
    Replies: 8
    Last Post: 10-08-2016, 09:30 AM
  3. Ducted/Multi-head Heat Pump
    By PC in forum Property Improvements (NZ)
    Replies: 14
    Last Post: 29-06-2015, 11:16 AM
  4. Heat pump removal
    By helenalex in forum Property Improvements (NZ)
    Replies: 7
    Last Post: 18-03-2014, 10:52 AM
  5. how does heat pump work?
    By onamina in forum Commercial Property (Euro)
    Replies: 4
    Last Post: 07-04-2011, 08:43 AM
  6. What Do Tenants Want Heat Pump or Woodburner
    By lissie in forum Tenant Stuff (NZ)
    Replies: 10
    Last Post: 16-02-2011, 05:32 PM
  7. Depreciation rate for new (electric) heat pump
    By jksmurf in forum Finance, legal and tax (NZ)
    Replies: 13
    Last Post: 17-06-2008, 09:19 AM
  8. Air con/heat pump fitter wanted
    By Heg in forum Property Improvements (NZ)
    Replies: 0
    Last Post: 10-04-2008, 01:07 PM
  9. Heat pump installer in Wellington
    By moovet in forum Property Improvements (NZ)
    Replies: 3
    Last Post: 20-04-2007, 08:16 PM

Tags for this Thread

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •