You can add depreciation for existing investment properties, new builds, or renovations in just a few steps. Once it’s set up, TaxTank automatically carries your depreciation forward each year so you never miss a claim.
Step 1: Choose Your Depreciation Method
TaxTank defaults to the Diminishing Value method, which is commonly used by property investors to maximise claims in the early years.
However, if you have previously been using the prime cost method, or just prefer this method, you can update to this method. The selected method will apply to all plant & equipment items with a few exceptions.
Not sure which method to use? Don’t worry — you or your accountant can update it at any time.
Step 2: Add Depreciation Details
Open the property you want to add depreciation for.
Click on the Depreciation tab, then click Add.
From the depreciation switcher, choose Plant & Equipment to add items that aren’t part of the building structure (capital works).
Add each item
Category – Select the item (e.g., oven, carpet)
Amount – Enter the original purchase price
Completion Date – Date purchased or installed and ready to use
Description – Add a name or note for reference
Closing Balance – For existing schedules, confirm the balance. If it’s incorrect, untick “Is this correct?” and adjust.
Upload Receipt – Optional for new items; you can also attach an existing depreciation schedule to the Spare Tank.
Plant & Equipment Categories
1. Useful Life
These are standard depreciable items based on ATO guidelines, pre-built into TaxTank for accuracy and compliance.
2. Low Value Pool
Items between $301 and $1,000 are added to the Low Value Pool, depreciating at:
18.75% in the first year
37.5% each year after
TaxTank will automatically move Diminishing Value items into this pool once their balance drops below $1,000, helping maximise deductions over time.
3. Write-Offs
Items under $300 are immediately written off in the year of purchase, claiming the full cost in one go.
If using the Prime Cost method, Diminishing Value items under $300 are still automatically written off.
If an item has been replaced or removed (e.g., a broken dishwasher), click the Write Off button next to it to claim any remaining depreciation balance in the current financial year.
Step 3: Repeat for Each Asset Class
Repeat the process for each asset class in the schedule as necessary to ensure all eligible items are recorded.