Capital Allowances vs Capital Works - Div 40 vs Div 43
By Meng Lee
1h 10m CPD time
Difficulty: Basic
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Nail down the basics of capital allowances (Division 40) and capital works deductions (Division 43) before learning how to distinguish between the two.
In this session, we cover:
Fundamental principles of capital allowances and capital works
Recent developments – IAWO, TFE
Division 40 – Capital allowances
Steps to calculate decline in value
What is a depreciating asset?
Who is the ‘holder’?
Cost of a depreciating asset
Special rules
Division 43 – Capital works deductions
What are capital works?
Who can claim capital works deductions?
Balancing deductions and disposals
Practical Issues: Rental properties
Date recorded: 2 September 2024