Top 10 Investment Property Tax Deductions You Can Claim in Australia (2025)

 

Maximising investment property tax deductions is one of the most effective ways to improve rental returns. From mortgage interest to property management fees, the Australian Tax Office allows landlords to claim a wide range of expenses. By learning what qualifies, investors can reduce their taxable income while building long-term wealth. For a full breakdown of key deductions, check Star Investment’s guide.

The largest deduction available to most landlords is mortgage interest. Other common claims include council rates, landlord insurance, strata fees, and property agent costs. Depreciation is another major benefit, allowing investors to claim wear and tear on fixtures, fittings, and building structures. These deductions often create thousands of dollars in annual tax savings.

It’s important to know the difference between repairs and capital improvements, as misclassification can affect eligibility. Good record-keeping ensures you maximise every possible claim. For more details on depreciation schedules and long-term benefits, Budget Tax Depreciation provides valuable insights.