TaxBot is an AI-powered tax and expense app for everyone — from individuals wanting a bigger tax refund to sole traders, freelancers and small businesses in Australia and the United States. You scan a receipt or upload a bank statement, and TaxBot's AI categorises each transaction, finds the deductions you're entitled to, tracks GST/BAS, and estimates your tax in real time.

How does TaxBot help me save on tax?

TaxBot reads your receipts and bank statements and uses AI to identify every work-related expense you can legally claim — matched to your occupation — including items people commonly miss like subscriptions, tools, phone, vehicle and depreciation. Claiming more legitimate deductions lowers your taxable income, so you keep more of what you earn.

Does TaxBot handle GST and BAS in Australia?

Yes. TaxBot tracks GST collected and paid, breaks it down by BAS quarter and full financial year (1 July – 30 June), and gives you a clear net-GST figure to help you prepare your Business Activity Statement.

TaxBot is for anyone who wants to pay less tax and keep better records — everyday individuals and employees claiming work-related deductions, as well as sole traders, freelancers, contractors, gig and rideshare drivers, tradies and small business owners. If you have expenses you can claim, TaxBot helps you find and track them without an accountant doing everything manually.

Yes — you can start free with no credit card. The free Starter plan includes essential tools and a monthly allowance of AI actions. Paid plans (from $14.99/month AUD) add unlimited receipts, more AI, and extra modules like invoicing, mileage and depreciation.

Can TaxBot turn my bank statement into deductions?

Yes. Upload a PDF or image of your bank statement and TaxBot's AI extracts every transaction, detects the financial year automatically, flags likely business deductions based on your occupation, and lets you save them to your records in one step.

The Hidden Wealth Builder: How One Family Saved $47,000 Through Depreciation

A comprehensive look at how depreciation unlocks cash from assets you already own

When David and Lisa Chen bought their first investment property in 2019, they thought they understood the tax benefits. They claimed interest, rates, insurance, and property management fees. Their rental statements showed a small loss each year, providing some negative gearing benefit.

Then their accountant asked a simple question: "Have you got a depreciation schedule?"

They had not. Like 80 percent of Australian property investors according to ATO estimates, the Chens were missing out on one of the most valuable deductions available. What they discovered changed their financial picture dramatically.

A quantity surveyor inspected their property and produced a detailed depreciation schedule. The result: $12,400 in first-year deductions they had completely missed, and a projected $47,000 in total deductions over the property's depreciable life.

"We had no idea all those items could be claimed," David recalls. "The carpets, the blinds, the hot water system, even the kitchen appliances. And the building itself. It was money we had been leaving on the table every year."

The Problem: Depreciation Is the Most Overlooked Deduction

Depreciation is the decline in value of assets over time. For tax purposes, you can claim this decline as a deduction even though you are not spending any money. It is a non-cash deduction that reduces your taxable income.

Yet depreciation remains chronically under-claimed because it requires specialist knowledge to calculate correctly, the rules changed significantly in 2017, and many investors simply do not know it exists.

The numbers are staggering. A typical investment property has between $15,000 and $40,000 in first-year depreciation deductions available. Over the life of the property, this can total $100,000 or more. At a 37 percent marginal tax rate, that represents up to $37,000 in actual tax savings.

Understanding the Two Types of Depreciation

Division 43: Capital Works Deductions

This covers the building structure itself, everything that is permanently fixed: walls, roof, fixed cupboards, built-in wardrobes, driveways, fences, and landscaping.

For residential properties built after 15 September 1987, you can claim 2.5 percent of the construction cost annually over 40 years. For commercial properties, the rate varies depending on when construction commenced.

The Chens' apartment was built in 2015 with a construction cost of $280,000 (separate from land value). Their annual Division 43 claim: $7,000 per year for 40 years.

Division 40: Plant and Equipment

This covers removable assets with their own effective life: carpets, blinds, air conditioners, hot water systems, ovens, dishwashers, light fittings, and smoke alarms. Each item depreciates at its own rate based on ATO-determined effective lives.

Here is where the 2017 changes matter. For properties purchased after 9 May 2017, you can only claim Division 40 depreciation on new items you purchase and install, not on existing plant and equipment that came with the property.

However, if you bought before this date, or for new properties where you are the first owner, full Division 40 claims apply. And importantly, Division 43 capital works deductions remain available regardless of when you purchased.

The Chen Family Depreciation Breakdown

Here is how the Chens' $47,000 in depreciation deductions breaks down:

Division 43 Capital Works (Over 40 Years)

Building construction value: $280,000 at 2.5 percent per year equals $7,000 annually. Over their 10-year intended holding period: $70,000 in deductions.

Division 40 Plant and Equipment (First 10 Years)

Carpets and floor coverings: $6,200
Blinds and curtains: $2,100
Hot water system: $1,800
Air conditioning: $4,500
Kitchen appliances (oven, rangehood, dishwasher): $3,200
Light fittings: $1,200
Smoke alarms and safety equipment: $400
Other plant items: $2,600

Total Division 40 over 10 years: $22,000

Total Depreciation Benefit

Combined deductions over 10 years: $92,000. At their marginal tax rate of 37 percent, this equals $34,040 in actual tax savings, or approximately $3,400 per year in reduced tax payments.

"It completely changed the cash flow on the property," Lisa explains. "What looked like a slightly negatively geared investment became much more attractive when we factored in the depreciation benefits."

How TaxBot Helps Track Depreciation

Once you have a depreciation schedule, TaxBot helps you maximise its value:

Schedule upload: Import your quantity surveyor schedule and TaxBot tracks claims automatically
Annual calculations: See exactly how much to claim each year, adjusted for diminishing value or prime cost methods
Asset additions: When you replace items (new hot water system, new carpet), add them to your TaxBot schedule for immediate tracking
Disposal adjustments: If you dispose of a depreciated asset, TaxBot calculates the balancing adjustment
End-of-year reports: Generate depreciation summaries ready for your tax return
CGT cost base tracking: Remember, depreciation claimed reduces your CGT cost base when you sell. TaxBot tracks this automatically

Getting Your Depreciation Schedule

A depreciation schedule must be prepared by a qualified quantity surveyor. The process typically involves a site inspection where the surveyor photographs and measures all depreciable items, followed by a detailed report listing every claimable asset with its value and effective life. The cost ranges from $600 to $800, and the fee is fully tax deductible.

TaxBot can connect you with accredited quantity surveyors in your area. Most can prepare a schedule within 2 to 3 weeks of inspection.

For the Chens, the $700 schedule fee was recovered in the first two months of additional tax savings. Every dollar after that was pure benefit.

Do Not Leave Money on the Table

If you own an investment property without a depreciation schedule, you are almost certainly missing out on significant deductions. Even if you purchased after May 2017, Division 43 capital works deductions remain available and can be substantial.

Download TaxBot today to track your property deductions, upload your depreciation schedule, and ensure you are claiming every dollar you deserve.