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Tax on rental income

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  • 18-11-2008 12:56pm
    #1
    bogmanfan
    Registered Users Posts: 1,700 ✭✭✭


    Hi,
    I have changed job in the last few months, and am now based quite far away from my apartment. I am thinking of renting out the apt, and then renting a room somewhere closer to work for myself. I plan on registering myself as a landlord and doing everything above board. Just want to know if the rent I am paying myself can be written off against the rental income from my own place? The rent I would be paying for the room would be less than the income from the apartment.
    Thanks for any replies


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    #2
    The_Conductor
    Moderators, Society & Culture Moderators Posts: 32,285 Mod ✭✭✭✭The_Conductor


    No- is the short and simple.
    They are two totally different transactions, and must be treated as such for tax purposes.

    S.


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    #3
    Mr. Incognito
    Registered Users Posts: 9,798 ✭✭✭Mr. Incognito


    How long have you had the apartment? If you have claimed first time buyers relief and convert the property to a rental property within two years the relief can be clawed back.


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    #4
    bogmanfan
    Registered Users Posts: 1,700 ✭✭✭bogmanfan


    Bought the apartment off plans over 5 years ago, so stamp duty clawback shouldn't be an issue.
    So, will I have to deal with the income tax from my apartment as one transaction, and seek rent relief for myself as a separate transaction?
    Maybe thinking about selling, as my mortgage is still substantially lower than the lowest asking prices for similar properties in the area.
    The rent minus the income tax would mean I would have to pay around 100 euro a month on top, to make the mortgage payment. Not a problem, but wasted money if I don't move back in the next couple of years. Which I probably won't.
    Decision... decisions


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