Did you know that you could have someone else, such as a tax agent, maintain your asset register?
An asset register contains all the essential tax information. The advantage to it is that you may dispose of original documents five years after certification.
Pursuant to the substantiation rules, you are generally required to retain records until the end of 5 years after the asset is sold. For example, you hold an investment property for 10 years and then sell it, you will have to keep the records for 15 years.
It is common that the original documents cannot be located after a long period of time. As a result, you will not be able to include these costs in calculating your capital gain at the sale.
For more information, contact Matt Zhou
on 02 9957 4033.
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