All Topics / Finance / June Interest on IP

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  • Profile photo of JPS25JPS25
    Participant
    @jps25
    Join Date: 2010
    Post Count: 121
    July 19, 2010 - 12:40 am

    Hi

    The Interest on our IP added to loan 30th June by the bank but not paid by us until the end of July is it tax deductuble this year 2009/2010 or next 2010/2011?

    Also Ip loan is only in husbands name so I had to go guarantor as equity was being used on our home (both names) the solicitor bill for this does it get added to the base cost for CGT or is it deductuble?

    Thanks for your help still new at this

    JPS25

    Profile photo of WJ HookerWJ Hooker
    Participant
    @wj-hooker
    Join Date: 2007
    Post Count: 272
    July 19, 2010 - 2:35 am

    JPS25
                I presume you mean, you paid your monthly repayment at the end of July ?
    Yes your interest is for 2009/10

                 Loan cost so deductable over 5 years. Your name doesn't matter its all on your husbands tax.

    bye

    Profile photo of WJ HookerWJ Hooker
    Participant
    @wj-hooker
    Join Date: 2007
    Post Count: 272
    July 19, 2010 - 2:38 am

    JPS25,
                 I think maybe I read it wrong for the solicitor…If you mean the solicitor was just for the loan then as above.
    But if the solicitor was for the transfer of property etc then it not deductable and is a cost of the house.as for CGT etc.

    bye again

    Profile photo of JPS25JPS25
    Participant
    @jps25
    Join Date: 2010
    Post Count: 121
    July 19, 2010 - 9:01 am

    Thanks WJhooker

    Yes the solicitors bill is for the investment loan

    The Interest was charged by the bank this June the 30th but is not due to be paid till end of July which falls in a different tax year so haven't actually paid it yet

Viewing 4 posts - 1 through 4 (of 4 total)

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