We have a short term rental property and I can't find clear guidance as to how setup expenses are claimed. Most of these relate to minor items such as kitchen items, bedding etc and many will fall under the $300 level. Almost all are under $1,000. If they can be claimed does the $5,000 immediate write-off apply?
Most of these relate to minor items such as kitchen items, bedding etc and many will fall under the $300 level.
If Depn item costs less than $ 300 - full deduction.
If in depn item in range $ 300 - $ 999 - low value pool
If they can be claimed does the $5,000 immediate write-off apply?
There is no $ 5000 write off for rental properties.
Most of these relate to minor items such as kitchen items, bedding etc and many will fall under the $300 level.
If Depn item costs less than $ 300 - full deduction.
If in depn item in range $ 300 - $ 999 - low value pool
If they can be claimed does the $5,000 immediate write-off apply?
There is no $ 5000 write off for rental properties.
Thanks Bruce, much appreciated.
I had thought that setup costs, those that occur before the property is available for rent, were handled differently.
15 Apr 2026 · 4 min read time
15 Apr 2026 · 8 min read time
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