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Capital works

Last updated 12 July 2020

You can deduct construction costs in respect of the following capital:

  • buildings or extensions, alterations or improvements to a building
  • structural improvements or extensions, alterations or improvements to structural improvements, and
  • environmental protection earthworks.

Deductions for construction costs must be based on actual costs incurred. If it is not possible to genuinely determine the actual costs, provide an estimate by a quantity surveyor or other independent qualified person. The costs incurred by the fund for providing this estimate are deductible as a tax-related expense, not as an expense in gaining or producing assessable income.

QC20485