# Furniture depreciation calculation



## contractor (20 Apr 2008)

Hi,

I know depreciation is calculated at 12.5% but how is it calculated if you furnished the apartment while it was your PPR?  In otherwords if I bought apartment and lived in it for 5 years prior to renting it, do I still calculate 12.5% of the total value?

Another question, is the 12.5% calculated on the total value for every year or does it change in the 2nd year of renting.  i.e in year 2 will it be:

(Total cost of furniture - Year 1 depreciation) x 12.5%

Also regarding expenses, if your property is in another county can you claim mileage for any visits you make?

Thanks.


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## Shark Trager (20 Apr 2008)

Open to correction,In that I generally leave all this to my accountant,but if I understand your quetion,I am *almost *sure pre letting expenses prior to first letting are not allowable under revenue rules.


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## contractor (20 Apr 2008)

Thanks Shark Trager.  I'm more concerned with furniture and fittings rather than expenses.  If apartment was let from the start I would be able to claim depreciation of furniture and fittings.  

My question really is what happens if the furniture and fittings being used already have 5 years depreciation through my own use.  Do I claim 12.5% but only for 3 years to take into account the 5 years they were under my own use? Or does it make a difference?  Can I still claim 100% depreciation over 8 years of letting?

Thanks for your help.


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## webtax (23 Apr 2008)

You can claim wear & tear on 2nd hand furniture based on it's present value i.e. not original purchase price. You should keep a full list of items and the value you are placing on them (and be able to justify them if the revenue ever inspected you).

You then write this off over 8 years as usual starting from the year you place it in the investment property.


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