All Topics / Help Needed! / Converting PPOR to IP
Hi all,
I have a property which is my PPOR. I have lived in this property for 18 months. Just wondering if LMI and all other fees incurred when i opened my loan can now be used as a tax deduction once the property becomes an IP?
Regards
BeakaAnswer is Yes.
In saying this remember loan costs are deductible over 5 years or the term of the loan whichever is the shorter so not deductible in 1 go.
They would proportionalised for the loan term but you would be able to claim the balance of the term once the property is available for rent.
Stamp Duty and not related loan costs are added to the Capital Base and offset against future capital gains tax.
Richard Taylor | Australia's leading private lender
As Above, but include;
Conveyancing / solicitor fees are added to the Cost Base as well.
Registration of mortgage etc is a deductible loan cost over 5 years.
Thanks heaps guys,
much appreciated
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