Dear Australian Taxation Office,

This is an application for the purposes of the FOI Act.

I am seeking documents that provide the following information:

1. The annual cost to Australian taxpayers of negatively gearing from 1980 to 2020; and
2. The annual number of individuals with rental properties making a loss from 1980 to 2020.

The information will expand on what the media has reported about negative gearing. For example:

“The ATO data shows there were more than 2.2 million people with rental properties in 2017-18 of which 1.3 million made a loss.”

Yours faithfully,

Julie Middleton

Dear FOI,

I have not yet received a response to my FOI request dated 1 March 2021. In order to assist with this request, I wish to amend my application to documents that contain the following information:

1. The annual cost to Australian taxpayers - from 2002 to 2020 - relating to expenses incurred in gaining or producing assessable income from residential premises. Rental property is said to be 'negatively geared' if an individual’s deductible expenses are more than the income earned from the property.

2. The annual number of individuals with rental properties making a loss from 2002 to 2020.

There is no legislative provision in the Income Tax Assessment Act 1997 that specifically provides for negative gearing. Instead, it is permitted under general and long-standing principles of deducting expenses that are incurred in gaining or producing assessable income. The general rule about deductibility is currently contained in section 8-1 of the Income Tax Assessment Act 1997.

The information will expand on what the media has reported about negative gearing. For example:
“The ATO data shows there were more than 2.2 million people with rental properties in 2017-18 of which 1.3 million made a loss.”

Yours sincerely,

Julie Middleton