|Tax Breaks For Green Buildings|
|Tuesday, 01 March 2011 13:06|
The Government has intoduced tax breaks from 1 July 2011 for businesses that improve the energy efficiency of the commercial buildings they own. Businesses that undertake capital works to improve the energy efficiency of their existing buildings – from 2 stars or lower to 4 stars or higher – will be able to apply for a one-off bonus tax deduction.
Buildings account for 19% of national energy use – with commercial buildings alone accounting for approximately 10% of Australia’s emissions.
This incentive will enable businesses to claim a bonus tax deduction of 50% of the cost of the eligible assets or capital works.
The Tax Breaks for Green Buildings initiative will be available for retrofits of existing commercial buildings. It will also be available for retrofits of office buildings, hotels and shopping centres that are currently covered by the National Australian Built Environment System (NABERS) scheme.
To be eligible for the Tax Break, the retrofit will need to be assessed by an accredited NABERS assessor both before and after the project, to ensure the improvement in energy efficiency is achieved.
The scheme will run until 30 June 2015, and as such qualifying retrofit projects undertaken between 1 July 2011 and 30 June 2015 would be eligible for the Tax Break.