Private ruling: Deductions - repairs and maintenance
Date of advice: 8 May 2024
Published: 17 June 2024
Ruling period: Year ending 30 June 2024.
Date scheme commenced: 1 July 2023

Ruling: Q1: Can you claim a repairs deduction for the cost of the work completed to the roof of your residential rental property? | A1: Yes. With consideration of Taxation Ruling TR 97/23 Income tax: deductions for repairs , we are satisfied that the expenses incurred in relation to the roof are immediately deductible as a repair under section 25-10 of the Income Tax Assessment Act 1997 .

Relevant facts and circumstances: You own a residential rental property acquired in MM 20YY. The roof of the property was damaged due to wind on DD MM 20YY. The roof then began to leak. You organised an emergency fix of the damaged section of roofing. The roof was in good condition at the time the property was purchased and when it was first made available for rent. The property was rented whilst the work was undertaken. A total of XX% of the roof area was replaced with the same material as the original roof. The cost of the labour and materials for the work done to the roof was approximately $X. You incurred an additional amount of $X for safety costs.

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