20/10/2026
โ๏ธ ๐๐ผ๐น๐ถ๐ฑ๐ฎ๐ ๐๐ผ๐บ๐ฒ + ๐ฅ๐ฒ๐ป๐๐ฎ๐น ๐ฃ๐ฟ๐ผ๐ฝ๐ฒ๐ฟ๐๐? ๐ง๐ต๐ฒ ๐ฅ๐๐น๐ฒ๐ ๐๐ฟ๐ฒ ๐๐ต๐ฎ๐ป๐ด๐ถ๐ป๐ด! โ๏ธ
Own a property that doubles as a holiday home? The ATO has released updated guidance that could affect what youโre able to claim at tax time.
The key question is: Is the property mainly being used to earn rental income, or are you using it mainly for private purposes?
๐๏ธ If the property isnโt mainly used to earn income:
You generally wonโt be able to claim deductions for ownership and use expenses such as interest, council and water rates, body corporate fees, capital works or depreciation.
You may still be able to claim certain costs directly related to earning rental income, such as advertising, cleaning after a guest stay and booking fees or commissions.
๐ If the property is mainly used to produce rental income:
You may be able to claim deductions, but any private use needs to be taken into account. Expenses will generally need to be apportioned, and you canโt claim deductions for periods the property was used privately.
Having your holiday home available for rent doesnโt automatically make all of its expenses deductible. The way you actually use the property matters.
If you own a holiday home that you also rent out, itโs worth making sure your records and deductions reflect how the property is being used.