57 McGahan Street, Carina Heights

Premium residential investment doesn’t just deliver capital growth — when the depreciation is done properly, it delivers immediate cash flow too. A $97,451 first-year deduction makes a material difference to an investor’s after-tax return from day one.

The Property

The property at 57 McGahan Street, Carina Heights is a high-specification, modern four-bedroom residence acquired for $3,875,000. Newer construction combined with premium finishes and fittings creates strong depreciation potential across both Division 43 capital works allowances and Division 40 plant and equipment — the two streams that together determine the total value of a Tax Depreciation Schedule.

The Brief

A Tax Depreciation Schedule was prepared to maximise the property’s investment performance, identifying and documenting all eligible claimable allowances. For a high-value residential investment of this kind, ensuring the schedule accurately captures every eligible item — and applies the correct effective life to each — is the difference between an average outcome and one that materially enhances the investor’s return.

Our Approach

MCG prepared a comprehensive schedule covering all claimable capital works and plant and equipment items within the property. Premium fixtures, high-specification kitchen and bathroom fittings, floor coverings, air conditioning systems, and hot water infrastructure were each identified, valued, and assigned appropriate depreciation rates.

The schedule was structured to front-load deductions where permitted — maximising the first-year and early-year benefit to the investor while ensuring total deductions are captured in full over the schedule’s life.

The Outcome

A Tax Depreciation Schedule delivering a first-year deduction of $97,451 and total forecast deductions of $2,380,070 — providing the investor with immediate cash flow advantage and significant long-term tax benefits that enhance the overall investment performance of a premium Brisbane residential asset.