Free Tax Calculator • ATO-Compliant

Investment Property Tax Calculator

Calculate your investment property tax deductions, negative gearing benefits, and depreciation. See instant tax savings with ATO-compliant calculations.

How to Use This Calculator

Enter Your Details

  • • Property details (building value, age, plant & equipment)
  • • Weekly rent and rental weeks per year
  • • All property expenses (loan interest, rates, insurance, etc.)
  • • Your current taxable income (before property)

Get Detailed Analysis

  • • Tax comparison with/without property
  • • Negative gearing benefit breakdown
  • • Depreciation calculations (Div 40 & 43)
  • • Complete deductions composition

Rental Income

$

Typical: 50-52 weeks

Your Tax Details

$

Your salary or business income (before rental)

Depreciation (Optional)

$

Construction/renovation value (typically 60-75% of purchase price)

The construction date affects your capital works deduction rate

$

Appliances, carpet, blinds, AC (get a QS report for accuracy)

Pro Tip: Get accurate depreciation estimates with a Quantity Surveyor report

Deductible Expenses

$
%

Only interest is deductible, not principal

$
$
$
$

Typically 7-10% of rental income

$

Immediate repairs only (not improvements)

$

Accounting, legal, advertising, etc.

Pro Tip: Track your rental property expenses year-round with ReceiptClaimer. Upload receipts, auto-categorize expenses, and generate tax-ready reports.

What This Calculator Covers

Updated for FY 2025–26 ATO tax rates (Stage 3)

Included Deductions

  • Interest on investment loan
  • Building depreciation (Div 43 — 2.5% or 4%)
  • Plant & equipment depreciation
  • Repairs & maintenance
  • Property management fees
  • Council rates & water charges
  • Insurance premiums
  • Negative gearing tax offset

Tax Analysis

  • Annual taxable rental income
  • Total tax-deductible expenses
  • Negative gearing tax benefit
  • After-tax cashflow position
  • Effective tax rate on rental income

Why Use This Calculator?

ATO-Compliant

Calculations follow ATO depreciation rates and tax deduction rules for investment properties.

Negative Gearing

See exactly how negative gearing reduces your taxable income and tax liability.

Depreciation Impact

Include building (Div 43) and plant/equipment depreciation to maximize deductions.

Common Use Cases

First-Time Landlords

Understand your tax position before buying an investment property. See if negative gearing will reduce your overall tax liability.

Experienced Investors

Quickly model different scenarios: compare properties, assess renovation impacts, or evaluate depreciation schedules.

Tax Planning

Calculate your expected tax deductions for EOFY planning. Identify opportunities to maximize deductions through repairs or depreciation claims.

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Important Tax Considerations

  • Depreciation schedules: Building depreciation (Div 43) applies at 2.5%/year for post-1987 properties or 4%/year for older renovations. Plant & equipment uses diminishing value or prime cost methods.
  • Interest-only vs P&I loans: Only the interest portion of loan repayments is tax-deductible, not principal repayments.
  • Negative gearing: Rental losses offset your other taxable income (salary, business income). The tax benefit depends on your marginal tax rate.
  • Capital gains tax (CGT): This calculator does not include CGT on property sale. You may be liable for CGT when selling, with a 50% discount if held over 12 months.
  • Repairs vs improvements: Immediate repairs are fully deductible; capital improvements are depreciated over time.

Disclaimer: This calculator provides estimates based on typical ATO rules and standard depreciation rates. Results should not be considered financial or tax advice.

For accurate depreciation calculations, consider obtaining a professional depreciation schedule (Quantity Surveyor report). Always consult with a registered tax agent or accountant for personalized tax advice specific to your circumstances.

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