A quantity surveyor report is often needed to claim depreciation on a property because it helps to accurately determine the cost of construction and the value of assets within the property. The report provides a detailed breakdown of the construction costs and identifies all the depreciable assets, such as fittings, fixtures, and equipment within the property. This information is essential to calculate the depreciation that can be claimed on the property for taxation purposes.
The report typically includes an itemized list of all depreciable assets, their value, and their estimated useful life. This allows property owners to claim the correct amount of depreciation for each asset, based on its actual value and age, rather than using standard depreciation rates.
By engaging a quantity surveyor to prepare a depreciation schedule, property owners can maximize the tax deductions they are entitled to and potentially save thousands of dollars in taxes each year. Additionally, the report provides a useful record of the property’s assets, which can be helpful for insurance purposes and when selling the property in the future.