On 14 September 2021, Barry signed a contract for the purchase of a three-bedroom house in Paddington in his own name at a cost of $1,440,000 subject to a 30 day settlement period in which Barry needed to secure financing and conduct inspections. Barry was then able to obtain a loan of $1,250,000 from ANZ at a fixed interest rate of 2.50% per annum and had sufficient savings to pay for the balance of the purchase price as well as various other settlement costs. Upon settlement of the property on 14 October 2021, stamp duty and legal fees relating to this acquisition totaling $62,780 were paid on this date as well as ANZ loan establishment fees of $3,680 which were changed by the bank and paid on this date. The term of the loan is 25 years. During his inspections, Barry was provided with a detailed construction/depreciation schedule from the previous owner. The report prepared by Napier & Blakely Quantity Surveyors shows that the house was originally constructed in December 2008. The schedule confirms that the original construction cost of the house was $326,000. The house has been permanently rented out since 14 October 2021 (ie. 37 weeks) and Barry has received gross rental income of $37,000 for the current income year. Expenses relating to the rental property for the 2022 income year were as follows: $ Building inspection report (incurred prior to purchasing the apartment) 1,080 Cleaning 482 Council rates 4,737 Landlord insurance 1,716 Interest on ANZ loan (from 14 October 2021 to 30 June 2022) 22,260 Property agents commission (on rent collected @8.5%) 3,144 Repairs and maintenance (all tax-deductible) 276 Travel to and from the rental property to inspect prior to purchase 92 Travel to and from the rental property to inspect after purchase 154 The property was rented out partially furnished. On 2 November 2021, Barry purchased several items for the benefit of his tenants. These items are detailed as follows: $ Microwave oven 260 Freestanding barbeque 3,715 Window curtains 2,414 Television set 786 When the property was purchased, it was obvious that the exterior of the house was badly in need of repair and repainting as significant sections of the external walls were cracked and the paint was peeling off in numerous places. Barry engaged the services of a local painter to repair and repaint the entire exterior of the house. The painter is paid $22,950 on 15 November 2021. Barry chooses not to allocate assets costing between $300 and $1,000 into a low-value pool. Instead, he prefers that you depreciate any depreciable assets purchased in accordance with their effective lives as set out by the Commissioner of Taxation in Table A of Taxation Ruling TR 2021/3 (refer to Residential Property Operators 67110). For Division 40 purposes, Barry wishes to use the diminishing value method (wherever possible) to maximise any depreciation deduction claimed. For Division 43 purposes, Barry wishes to use the prime cost method.

What this tax - deductible or not. Please provide reasons.