Are chattel valuations worthwhile under the IRD's depreciation regime?

Wrriley asks:
(updated on Thursday, September 20th 2007)

What is the latest information from the current depreciation review? Is it still worthwhile getting a detailed value of fittings and landlords chattels for depreciation accounting purposes?

Our Experts Answer:

IRD have indeed finalised their review of the depreciation regime which you can check out at In my opinion, it is still worthwhile getting a chattel valuation. The cost of the valuation should still be less than the extra value received from the additional depreciation. And, if you conduct any repairs and maintenance that result in having to remove an item (such as a hot water cylinder), then if there is any cost left to depreciate, you are able to write that cost off immediately as it has been broken out from the total purchase price and depreciated separately.

Bookstore recommended reading:
Property Tax by Mark Withers $29.95
Pay Zero Taxes by Peter Sibbald $24.95

Kenina Court is a director of Acorn Solutions Limited, an accounting firm dedicated to working with clients to help them create wealth. She is an avid property investor, entrepreneur and seminar presenter on asset protection and wealth strategies.


Heartland Bank - Online 1.99
Kainga Ora - First Home Buyer Special 2.25
HSBC Premier 2.25
Westpac Special 2.29
TSB Special 2.29
BNZ - Classic 2.29
ASB Bank 2.29
ANZ Special 2.29
Kiwibank Special 2.35
ICBC 2.45
SBS Bank Special 2.49
Heartland Bank - Online 2.35
HSBC Premier 2.35
ICBC 2.45
TSB Special 2.49
SBS Bank Special 2.59
BNZ - Classic 2.59
ASB Bank 2.59
China Construction Bank Special 2.65
Kiwibank Special 2.65
The Co-operative Bank - Owner Occ 2.69
AIA 2.69
HSBC Premier 2.89
SBS Bank Special 2.99
The Co-operative Bank - Owner Occ 2.99
AIA 2.99
Westpac Special 2.99
ICBC 2.99
ASB Bank 2.99
China Construction Bank Special 2.99
BNZ - Classic 2.99
TSB Special 3.19
Kiwibank Special 3.19
Heartland Bank - Online 2.50
Resimac 3.39
Kiwibank 3.40
Kiwibank - Offset 3.40
Kiwibank Special 3.40
Bluestone 3.49
Select Home Loans 3.49
ICBC 3.69
Heartland 3.95
The Co-operative Bank - Owner Occ 4.40
The Co-operative Bank - Standard 4.40