IRD and depreciation

IRD and depreciation

What do IRD have to say


For the Investor
IR264 – Rental income

An overview of the tax treatment of rental properties.

“Assets such as the stove and carpets, that are part of the property or used in your rental activity, will eventually reduce in value through wear and tear or by becoming out of date. This reduction in value of your assets is known as depreciation. Each year you calculate the depreciation amount and deduct it as an expense”

Download the full document here

For the Property Professional
IR260 – Depreciation for businesses

An overview of depreciation and all of the available deprecation rates.

“This publication explains how to claim depreciation on your business assets. You’re required to claim depreciation when you aquire an asset for your business and account for it when you dispose of that asset.”

Download the full document here

Find a depreciation rate

Use the IRD website to find a depreciation rate, simply click here

“Use this calculator to find the depreciation rate either diminishing value (DV) or straight line (SL) for all depreciable assets”

Checkout recent changes and updates

This is a link to recent announcements from IRD on depreciation, including rate determinations.

Interpretation Statement 10/01

Click here to download a copy of the interpretation statement “Residential Rental Properties – Depreciation of Items of Depreciable Property”

This document took over 10 years to complete and changed the way we complete depreciation schedules for Residential Property. The positive is that it finally gave us all clarity on what we could claim.