What rental property expenses can be claimed?
Understand common rental property expenses and how the ATO separates immediate deductions from other costs.
Summary
The ATO explains that some rental property expenses may be claimable immediately, while other costs may need to be claimed over time or included in CGT calculations.
What this means
Rental property expenses need to be connected to earning rental income and supported by records. Some costs are repairs, while others may be capital works or depreciating assets with different treatment.
Investors should be careful not to claim private or non-deductible costs as rental deductions.
Typical actions
- Keep invoices and receipts for rental expenses.
- Separate repairs, capital works and depreciating assets.
- Check ATO guidance before claiming large expenses.
- Keep records for CGT purposes.
Official ATO sources
Last checked: 20 June 2026
Rental expenses you can claim now
Explains rental expenses that may be claimed immediately.
Residential rental properties
ATO hub for rental property tax information.
Keeping records for investments and assets
Explains investment records needed for income and CGT.
Related questions
- How is rental income taxed?
- What is negative gearing?
- What records should investors keep?
- What is capital gains tax?
Important notice: Tax Clarity is an independent information tool. This page provides general information based on official sources. It does not provide tax, legal, financial, or accounting advice. Tax rules can change, and how they apply depends on your circumstances. For advice about your situation, speak with a registered tax agent or qualified professional.
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