Depreciating Items a Year or So Later?

tunzafun001 on 19/07/2024 - 11:14

Found a few receipts from previous years. Didn't use the item until future years ($290 printer).

Not worth the hassle of amending.

The online tool shows you can chuck in the past dates and a depreciation schedule item is created.

Ie. Bought June 23 (so missed this FY by a few days).

But the accountant says I have missed the boat as it should have been an instant write off in previous year. ATO said Similar..

BUT … the $300 instant appears to be an "option".
I'm chosing not to take that option, and to (possibly) forgo the first year of depreciation (actually only 6 days), and keep trucking for the next 3.

What am I missing here when the ATO and the ATO online calculator are saying different things?

Same for a car. Did a log book in the second year of ownership. Can I start using the logbook method in the second year?

Financial

Comments

  • SmiTTy on 19/07/2024 - 11:20
    +1

    In not an accountant but don't see any issue with what you're suggesting. It's as if you werent using it for work purposes in the first financial year and started using it for work purposes the next. It shouldn't mean you don't get to claim the deduction just because you didn't use it from day 1(imo)

    … But again, I'm not an accountant

    • tunzafun001 on 19/07/2024 - 14:53
      +1

      Yeah…The ATO tools and MyTax accept it no probs… an accountant and an ATO rep on the other hand….

      Our tax system really is a dogs breakfast. .. vommitted …then re-eaten!

      Like it shouldn't even be a blimp on a radar… Say <$1000 from previous year… you are using it for work after all…so chuck it in. Done

  • Fredfloresjr on 19/07/2024 - 11:24
    +4

    Man go see an Accountant and not ozbargain. Don't blame JV if you get audited.

    • bazingaa on 19/07/2024 - 12:10
      +1

      But the accountant says

      OP already met one

    • tunzafun001 on 19/07/2024 - 12:39

      Haha…both of the above is currently occurring…

      The problem is accountants (and the ATO) think in the "majority of cases' brain space.

      Ie. why wouldn't you just write it off in the first year? All the literature is written as an 'option' to do this.

      But it doesn't fit my scenario, I don't want that option.

      So my accountant has left it out, I want it in, and have asked the ATO directly how to add it…

      BUT…Here's a fun fact - The ATO Depreciation tool DOESN'T HAVE A PRINTER in it! Only a Manufacturing / commercial printer.

      But then you need to LEGALLY accept the disclaimer you are using the printer for Manufacturing.

      I rang the complaints line, and they couldn't find one either (only a commercial/ Manufacturer printer). They filed an official complaint. So my Audit is derailed by a Printer….unless I can find the right words to get my accountant to whack it in.

    • tunzafun001 on 19/07/2024 - 13:42

      Funny enough, the BEST accountancy advice I have gotten is from here!

      Prior to the audit I only claimed one car (thought you could only claim one).

      But discovered on here, if both cars were used, and you can prove it (diary or logbook), then you can claim both.

      So a few extra thousand I wouldn't have claimed if not for the audit, and not for Ozbargain!!

  • Dollar General on 19/07/2024 - 11:25
    +1

    At $290, is it really going to make much of a difference to your taxable income?

    You can start using logbook for the year you are claiming in

    • tunzafun001 on 19/07/2024 - 12:44
      +1

      There was a time when it wouldn't. Unfortunately with the cost of living…if I can get an extra $5..I'll take it.

      Not quite at the 'go nuts' for a 3% discounted Amazon gift card level… but I will pursue a $300 item for a simple data entry.

      Well…I say simple….apparently it isn't

  • jv on 19/07/2024 - 12:38
    -1

    You missed the boat as it should have been an instant write off….

    • jv on 19/07/2024 - 12:38
      +1

      Don't blame me if you get audited.

      • tunzafun001 on 19/07/2024 - 12:41

        I am being audited…reasonably comfortable with it…and the instant write off is an 'option'.

        Ie. I can still add other <$300 items from several years back via the ATO Dep tool. But my accountant is lodging it.

    • tunzafun001 on 19/07/2024 - 21:47

      This is the wording

      " An immediate deduction is allowable for certain capital assets costing $300 or less.

      It's allowable..but I don't want to use it?

      Don't see anything that says there is any missed boat?

      Same as my car. Bought it last year, but will depreciate it this year.

  • Jake D on 19/07/2024 - 13:05
    +2

    Accountants can submit amendments to previous years' returns. Have your accountant amend last year's retrun to include this deduction.

    • tunzafun001 on 19/07/2024 - 13:37

      yeah cheers. The issue is he also need to resubmit the full schedule for an ammendment.

      I used Mytax in that year. So he wont have it.

      If he can simply import the schedule CSV, then all good. But might need to re enter the lot manually???

      But then they will probably do a full audit on that year as well..

      So really want to get it in the following year. Easily doable on MyTax…but I'm using an accountant.

  • DingoBilly on 19/07/2024 - 13:50

    I have gone back and amended my tax return a bunch of times, pretty much every single year I've remembered something a few months later and gone back to add it in. Would follow your accountant's advice here.

    It's pretty easy.

    • tunzafun001 on 19/07/2024 - 14:54

      Through MyTax you mean? This would be easy, as your Dep Schedule is already there.

  • Settero on 19/07/2024 - 21:19

    Is your accountant lodging for you,if so follow their advice or get a new accountant, or are you trying to have your accountant assist you then change it after they do their thing, that would be super dodgy and hard to explain if questioned.

  • plmko on 19/07/2024 - 22:39
    -1

    I know the answers but I'd rather laugh at how wrong the OP is. It is Friday after all.

    • tunzafun001 on 19/07/2024 - 23:19

      Ok..this helps..thanks for dropping by.

    • tunzafun001 on 20/07/2024 - 16:27

      So…ummm…how about insight on Saturday?

      Im just referencing the ATOs words on the website

      "An immediate deduction is allowable for certain capital assets costing $300 or less.

      I'm allowed to move assets into a low value pool as well..but i'm leaving them in the schedule.

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