Question from Adam updated on 13th June 2018:
I have a property in a Trust. Is it possible to depreciate the property and be able to access the the funds or will they remain in the Trust?
Our expert Mark Withers responded:
Buildings are no longer depreciable, only the chattel items rented with them can now be depreciated, irrespective of the ownership arrangement for the property. Income derived by a Trust is, in the first instance, Trust income. But, subject to distribution by the Trustees, income can be distributed to eligible beneficiaries of the Trust.
Mark Withers and his team at Withers Tsang & Co specialise in advising on property related transactions, valuation and restructure services and tax planning.