Why It Matters

Healthcare and aged care fit-outs are some of the most equipment-dense in commercial property.

A typical day surgery, dental practice or aged care facility carries an enormous density of specialised clinical equipment, sterilisation plant, medical-grade HVAC, accessibility infrastructure, and back-of-house support equipment. The Division 40 share commonly runs 35-55%, much higher than a bare warehouse, and the highest-end facilities (day surgeries, oncology clinics, full-service aged care) push above 50%.

A specialist QS site inspection captures items often missed: autoclaves and sterilisers, dental chairs and unit infrastructure, X-ray and imaging equipment, audiology booths, treatment beds, ceiling hoists, nurse call systems, accessibility fit-out (ramps, automatic doors, accessible bathrooms), childcare play equipment, school AV and sports infrastructure.

MCG has prepared depreciation schedules for medical centres, day surgeries, dental practices, allied health (physio, chiropractic, podiatry, psychology), aged care facilities, NDIS-registered SDA and supported accommodation, childcare centres, and primary and secondary schools across Australia.

Quick Reference
Healthcare property depreciation drivers

Clinical equipment: Dental chairs, sterilisers, X-ray, ECG, treatment beds. High individual values.

Medical-grade plant: Specialised HVAC (positive/negative pressure rooms), filtered air, gas plant.

Accessibility fit-out: Ceiling hoists, automatic doors, accessible bathroom fit-out, ramps, lifts.

NDIS-specific: SDA-grade fit-out, nurse call, emergency response, sensory infrastructure.

Why Use MCG

What you get from a healthcare-specialist QS

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

Site inspection by a registered QS
A registered tax agent QS attends and inspects treatment rooms, plant rooms, and accessibility infrastructure. Sterilisation and gas plant captured.
Specialised equipment expertise
Dental chairs, autoclaves, X-ray, treatment beds, ceiling hoists. Each individually identified and valued at correct effective life.
40-year compliant schedule
Full ATO-compliant report showing both Prime Cost and Diminishing Value, year-by-year, every asset.
Operator vs landlord clarity
For tenant-operated practices and clinics, we cleanly split operator-owned plant vs landlord fit-out. Each goes to the right return.
2 to 3 week turnaround
From site inspection to delivered schedule for most facilities. Larger aged care or hospital wings 4-8 weeks.
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 healthcare, education and social assistance property

Two broad asset groups: clinical / treatment / accessibility equipment, and building-services / education-specific plant.

Clinical & Accessibility

Treatment equipment and accessibility fit-out

Specialised assets often missed by generic schedules

  • Dental chairs and unitsEach chair plus delivery unit, light, suction, X-ray (where chair-mounted). Typical 10-year effective life.
  • Sterilisation equipmentAutoclaves, ultrasonic cleaners, sealers, sterile storage. Compliance-mandated for clinical practices.
  • Imaging and diagnosticX-ray, OPG, ultrasound, ECG, audiology booths, vision testing equipment.
  • Treatment beds and chairsExamination beds, treatment chairs, hi-low beds, electric chairs, surgery tables.
  • Ceiling hoists and patient liftersCeiling-mounted hoists, mobile lifters, transfer equipment. Critical in aged care and SDA.
  • Accessible bathroom fit-outModified vanities, shower seats, grab rails, emergency call buttons, wet areas, ambulant fit-out.
  • Nurse call and emergency systemsNurse call panels, room call buttons, central monitoring, fall detection, emergency lighting.
Building & Education

Building services, plant, and education-specific assets

Whole-facility infrastructure plus school and childcare specifics

  • Medical-grade HVACPositive/negative pressure rooms, HEPA filtration, controlled-atmosphere theatres, medical gas plant.
  • Lifts and accessibility infrastructurePassenger lifts, platform lifts, automatic doors, ramps with handrails.
  • Reception and waiting room fit-outReception desk, seating, AV displays, queue systems, child play areas.
  • Childcare-specific itemsOutdoor play equipment, soft fall surfacing, secure fencing, nappy change rooms, low-level joinery, kitchen fit-out.
  • School-specific itemsClassroom AV, smartboards, science lab equipment, trade workshop plant, sports infrastructure, library fit-out.
  • Aged care kitchen and laundryCommercial kitchen for resident meals, bulk laundry equipment, food trolleys, food warmers.
  • Security, CCTV and access controlCameras, monitors, alarm systems, intercom, electronic locks, swipe access. Critical in aged care and childcare.
How It Works

From enquiry to lodged schedule in 4 steps

A standard MCG healthcare or social-assistance depreciation engagement, end to end.

Send property details
Address, facility type (clinic, day surgery, aged care, school, childcare), settlement date, ownership structure, equipment inventory.
QS site inspection
A registered QS attends, ideally during off-clinic hours. Inspects treatment rooms, plant rooms, sterilisation, accessibility, education spaces.
Schedule prepared
40-year compliant report itemising clinical equipment, accessibility, building services, and education or childcare specifics 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 medical centres, day surgeries, dental practices, allied health, aged care facilities, NDIS-registered SDA and supported accommodation, childcare centres, and primary and secondary schools across Australia.

Registered Tax Agent (TPB) AIQS Advisory Board PIPA Board
Last reviewed: 26 April 2026 · Specialism: healthcare, aged care and education property depreciation
FAQ

Common questions on healthcare & social assistance depreciation

The questions medical practice owners, aged care operators, NDIS providers and education operators ask MCG most often.

A healthcare depreciation schedule is a 40-year ATO-compliant report itemising every depreciable asset in a clinical or social-assistance facility. It captures specialised treatment equipment (dental chairs, sterilisers, X-ray, audiology booths), medical-grade HVAC, accessibility fit-out, nurse call systems (aged care), childcare-specific items (play equipment, nappy change rooms), and the building structure. Healthcare and aged care fit-outs are dense and equipment-rich, often producing high Division 40 shares.
Healthcare property typically runs 35-55% Division 40 share (vs 18% for a bare warehouse). Day surgeries, dental practices and aged care facilities sit at the high end (50%+) due to the specialised clinical equipment density. GP clinics and allied health typically 35-45%. Schools sit lower (25-35%) unless they include science labs or trade workshops.
Yes, where the operator owns the equipment. Dental chairs (typical 10-year effective life), autoclaves and sterilisers, X-ray equipment (dental and general), ultrasound, audiology booths, treatment beds, ECG machines, and most clinical equipment are itemised individually as Division 40 plant and equipment. Lease arrangements differ in treatment.
NDIS-registered facilities (Specialist Disability Accommodation, supported independent living, day program centres) are depreciable on the same Division 40 / Division 43 framework. Accessibility-specific items get particular attention: ceiling hoists, accessible bathroom fit-out (modified vanities, shower seats, grab rails), automatic doors, ramps, lifts, nurse call systems, and emergency response infrastructure.
Yes. Outdoor play equipment, soft fall surfacing, secure fencing, nappy change rooms, low-level joinery and storage, kitchen fit-out (where food is prepared on-site), AV in classrooms, and accessibility infrastructure are all itemised. Childcare centres run higher Division 40 shares than typical commercial offices because of the specialised fit-out density.
Yes, where you (the tenant operator) own the fit-out and equipment. Operator-owned plant and equipment (dental chairs, sterilisers, treatment beds, play equipment) is depreciable in your name. Tenant-installed leasehold improvements (treatment room build, accessibility upgrades, surgery commissioning) are depreciable under Division 43 over the lease term or asset effective life, whichever is shorter.
Standard turnaround is 2 to 3 weeks for a single GP clinic, dental practice or childcare centre. Larger or more complex properties (day surgeries, aged care facilities, multi-site healthcare groups, hospital wings) can take 4 to 8 weeks. The QS attends in person to inspect treatment rooms, plant rooms, and accessibility infrastructure.
Talk To An Expert

Maximise the deductions on your healthcare property

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

Request A Quote 1300 795 170
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