Tenants / HAP / 100% Interest Relief

Gumbo

Full disclosure, I'm the landlord.
I have tenants commencing on 1st May in one of my houses.
They are going through the HAP process as they have already been approved.
I have no problem with this and all is ok.

Is there something I can do to claim 100% interest relief for social tenants?
I thought I read something about it in a recent budget?

Thanks.

tanit

kceire wrote: »

Full disclosure, I'm the landlord.
I have tenants commencing on 1st May in one of my houses.
They are going through the HAP process as they have already been approved.
I have no problem with this and all is ok.

Is there something I can do to claim 100% interest relief for social tenants?
I thought I read something about it in a recent budget?

Thanks.

This is what you are looking for "Interest on Borrowings"

"From 1 January 2016, a 100% interest deduction is allowable in respect of residential property which is let for a period of 3 years to a tenant or tenants in receipt of certain social housing supports."

You can use 100% of the interest as an expenditure against your rental income otherwise is 75% only

IHTH

CIARAN_BOYLE

Remember you must commit to taking hap tenants for 3 years to avail of 100% interest relief.

Gumbo

tanit wrote: »

This is what you are looking for "Interest on Borrowings"

"From 1 January 2016, a 100% interest deduction is allowable in respect of residential property which is let for a period of 3 years to a tenant or tenants in receipt of certain social housing supports."

You can use 100% of the interest as an expenditure against your rental income otherwise is 75% only

IHTH

Cheers. Although I think the relief had rise to 80% for normal tenancies for 2017.

CIARAN_BOYLE wrote: »

Remember you must commit to taking hap tenants for 3 years to avail of 100% interest relief.

Cheers also. I am doin a house swap and I've had these tenants for 2 years already in another house so I've no problem signing them up for 3 years again.

Thanks guys.

karenalot

You will need to fill out the RTB's Declaration of Undertaking Form to register your intention and can only claim the 100% relief at the end of the 3 year period.

http://www.rtb.ie/landlords/helpful-info-documents/declaration-of-undertaking-form

Samuel T. Cogley

Nice heads up folks, thanks.