Why It Matters

Service stations are unusually plant-rich. The deductions reflect that.

A typical service station carries far more Division 40 plant and equipment per dollar of property value than most commercial property types. The fuel infrastructure alone (underground storage tanks, dispensers, vapour recovery, leak detection, dispenser canopy) represents a substantial high-value asset class. Add the convenience retail fit-out (refrigeration, shelving, POS), forecourt lighting and signage, and any food prep equipment, and you get Division 40 shares commonly running 35-50% versus 18% for a bare warehouse.

A specialist QS site inspection captures items often missed: vapour recovery components, leak detection sensors, ANPR cameras, fuel piping runs, drainage interceptors, spill containment, signage (often LED), payment kiosks, EV charging infrastructure where present.

MCG has prepared depreciation schedules for branded and independent service stations, multi-site portfolios, truck stops, convenience retail tenancies, and quick service restaurant (QSR) sites co-located with fuel.

Quick Reference
Why food and fuel sites pack high deductions

Plant-rich: Division 40 share commonly 35-50% (much higher than other commercial).

Underground tanks: Each UST is separately depreciable, typical 20-25 year effective life.

Forecourt & canopy: Mix of Division 40 (lighting, dispensers) and Division 43 (canopy structure).

Retail fit-out: Refrigeration, shelving, POS, security all depreciable on shorter lives.

Why Use MCG

What you get from a fuel-retail specialist QS

Six things a generic accountant or self-prepared estimate cannot match.

On-site QS inspection
A registered tax agent QS attends the site to identify every asset, including underground infrastructure documented from as-builts.
Underground asset capture
USTs, fuel piping, vapour recovery, leak detection, drainage interceptors. Often missed by generic schedules.
40-year compliant schedule
Full ATO-compliant 40-year report showing both Prime Cost and Diminishing Value, year-by-year, every asset.
Multi-site portfolio handling
Portfolio operators (chains, independents with multiple sites) get streamlined methodology and bulk pricing.
2 to 3 week turnaround
From site inspection to delivered schedule. Urgent turnarounds available where settlement timing requires it.
Registered tax agent
MCG is a Tax Practitioners Board registered tax agent firm. The schedule itself is tax deductible.
What's Depreciable

Depreciable assets typical to a service station or food retail site

Two broad asset groups: forecourt and fuel infrastructure, and convenience retail / food back-of-house.

Forecourt & Fuel

Fuel infrastructure and forecourt assets

High-value items often missed by a generic schedule

  • Underground storage tanks (USTs)Each tank a separate Division 40 asset, typical 20-25 year effective life.
  • Fuel dispensers and pumpsEach pump a high-value individual asset with relatively short effective life.
  • Vapour recovery and leak detectionCompliance-mandated systems, separately depreciable.
  • Canopy and forecourt lightingCanopy structure (Division 43), LED forecourt lighting (Division 40).
  • Branded signage and pylon signsInternally illuminated price boards and pylons. Typically Division 40.
  • Forecourt drainage and interceptorsSpill containment, oil/water separators, environmental monitoring equipment.
  • EV charging infrastructureWhere present, chargers and supporting electrical are separately depreciable.
  • Car wash equipmentWhere on-site, the wash bay equipment, brushes, controllers and dryers.
Retail & Food

Convenience retail and food back-of-house

The shop and food prep contribute meaningful additional Division 40

  • Refrigeration and cold roomsWalk-in cold rooms, drink fridges, freezers, ice machines. High-value, shorter life.
  • Shelving and displayGondola shelving, end caps, point-of-sale displays.
  • POS and payment systemsTills, scanners, EFTPOS, fuel control systems, payment kiosks.
  • Coffee and food prepCoffee machines, ovens, fryers, food warmers, hot food displays, prep benches.
  • Security and CCTVCameras, recorders, alarm systems, ANPR plate-recognition cameras.
  • Air conditioningSplit or ducted systems for retail floor and back-of-house.
  • Bathroom and amenities fit-outHand dryers, hot water units, exhaust fans for customer and staff amenities.
How It Works

From enquiry to lodged schedule in 4 steps

A standard MCG food and fuel engagement, end to end.

Send site details
Address, settlement date, purchase price, brand affiliation, fuel volume metrics, any as-built drawings or fit-out cost records.
QS site inspection
A registered QS attends the site, photographs forecourt, retail floor, back-of-house. Underground assets identified from as-builts.
Schedule prepared
40-year compliant report itemising fuel infrastructure, retail fit-out, food prep, and structural elements separately.
Lodge with your tax return
Hand the schedule to your accountant or use it for self-prepared returns. Schedule fee is itself tax deductible.
Mike Mortlock, Co-Founder and Managing Director of MCG Quantity Surveyors
Reviewed by

Mike Mortlock

Co-Founder and Managing Director, MCG Quantity Surveyors

Mike Mortlock is a registered tax agent and the co-founder of MCG Quantity Surveyors. He sits on the AIQS Advisory Board and the PIPA Board. MCG has prepared depreciation schedules for branded and independent service stations, truck stops, convenience retail and QSR sites across Australia.

Registered Tax Agent (TPB) AIQS Advisory Board PIPA Board
Last reviewed: 26 April 2026 · Specialism: service station, convenience and food retail depreciation
FAQ

Common questions on food and fuel depreciation

The questions service station operators, convenience store owners and accountants ask MCG most often.

A service station depreciation schedule is a 40-year ATO-compliant report itemising every depreciable asset on a fuel and convenience site. It captures fuel infrastructure (underground storage tanks, dispensers, vapour recovery, canopy and forecourt lighting), convenience retail (refrigeration, shelving, POS, security), food prep where present, and signage. Service stations are unusually plant-rich and typically deliver a higher Division 40 share than most commercial property types.
Yes. Underground storage tanks are Division 40 plant and equipment with a typical effective life around 20-25 years. Associated piping, vapour recovery systems, leak detection equipment and dispenser infrastructure are also separately depreciable. The forecourt slab and canopy structure may be Division 43 capital allowance items.
Service stations are unusually plant-heavy. The Division 40 share commonly runs 35-50% (much higher than the 18% typical of bare warehouses or 15-20% of residential), driven by the dispensers, refrigeration, POS, signage, CCTV and food equipment. Division 43 covers the canopy, building structure (where eligible), and forecourt slab.
Yes. Coffee machines, food warmers, ovens, fryers, hot food displays, freezers, drink fridges, ice machines and prep benches are all itemised at their respective effective lives. For QSR (quick service restaurant) tenancies on the same site, the full kitchen fit-out is captured.
If you (the tenant) own the fit-out, yes. Tenant-owned plant and equipment is depreciable in your name even where you don't own the underlying land or building. Leasehold improvements (fit-out you've installed) are also generally depreciable over their effective life or the lease term, whichever is shorter.
Standard turnaround is 2 to 3 weeks from site inspection. Multi-site portfolios (chains of stations) can be done in batches and often run faster per-site by leveraging shared methodology. Urgent turnarounds available where settlement timing requires it.
Talk To An Expert

Maximise the deductions on your service station

Talk to an MCG fuel-retail specialist on 1300 795 170. Registered tax agents and quantity surveyors, working across Australia.

Request A Quote 1300 795 170
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