Private ruling: Rental repairs
Date of advice: 1 July 2025
Published: 1 September 2025
Date scheme commenced: X July 20XX.

Ruling: Q1: Are the expenses incurred to undertake repairs to the roof, covering, gutters, and downpipes of the property deductible under section 25-10 of the Income Tax Assessment Act 1997 (ITAA 1997)? | A1: Yes - section 25-10 of the ITAA 1997 permits an immediate deduction for expenditure incurred in conducting repairs to a property you hold for the sole purpose of producing assessable income, unless the outlay is capital expenditure. The repairs conducted to the roof, covering, gutters, and downpipes are not considered capital in nature and are therefore deductible under section 25-10 of the ITAA 1997. This private ruling applies for the following period: Year ending X June 20XX. The scheme commenced on: X July 20XX.

Relevant facts and circumstances: This private ruling is based on the facts and circumstances set out below. If your facts and circumstances are different from those set out below, this private ruling has no effect and you cannot rely on it. Find out more about when you can rely on your private ruling at ato.gov.au/relyonprivateruling. You are an Australian resident for taxation purposes. You purchased the property in 20XX. The property was built in 19XX. You have 100% ownership of the property. The property was already tenanted at the time you purchased it. The property is located in a building complex and is under a strata title. In August 20XX, a building inspection was instigated and arranged for by the Strata company who oversee the building complex. It was identified that the property required structural repairs to the roof as well as repairs to the covering, gutters and downpipes. The roof structure was originally made from wood. The covering was originally made from cement tiles. The gutters and downpipes were originally made from metal. The repairs were conducted in June 20XX. Corrections or replacements were made to the necessary areas of the roof however where repairs were not necessary the existing structure remained. Like for like materials were used for the repairs. You are not claiming insurance for the repair costs. In September 20XX, you received a notice from the Strata company requesting $XX for the roofing replacement. You paid this invoice. In February 20XX, you received a second notice from the Strata company requesting $XX for the roof replacement top up of funds. You paid this invoice.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 25-10