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You can only claim deductions for the period during the year that the property is rented or is available for rent. If you live in a property and intend to rent it out in future, investment property depreciation is not available to you until it is used for rent generation.
The deductions are built in with your investment property â so if you donât claim depreciation in your tax return, you are missing out on a genuine entitlement. Itâs your job to claim it, and the ATO does not issue reminders. The major benefit of depreciation is improving cash flow, by reducing taxable income.