Writing off mortgage against tax

lola_run

I would like to write off a mortgage as business expenditure as my home will also be my office. I'm self-employed. Can doctors and dentists write off the mortgage on their practices against tax?
By the way, my office will not be in Ireland, would this be a problem?

I already write off my rent as business expenditure, so I guess the same would apply for a mortgage.

Kinetic^

Imo, this won't be allowed whatsoever. You can allocate a rent charge for the use of the property but you can't write off your mortgage.

lola_run

Kenny 5 wrote:

Imo, this won't be allowed whatsoever. You can allocate a rent charge for the use of the property but you can't write off your mortgage.

Even is the mortgage is actually for a small appartment which is my office?

Kinetic^

Yes. The loan should've been setup in a more tax efficient way.

lola_run

Kenny 5 wrote:

Yes. The loan should've been setup in a more tax efficient way.

What do you mean in a more tax-efficient way?

Kinetic^

Honestly, you seem a little out of depth with the questions your asking, I would advise you to hire an accountant.

lola_run

Kenny 5 wrote:

Honestly, you seem a little out of depth with the questions your asking, I would advise you to hire an accountant.

Can you actually recommend me a good accountant?

Kinetic^

lola_run wrote:

Can you actually recommend me a good accountant?

www.goldenpages.ie

There's loads of them there, varying in size and the services they offer. All you have to do is ring them and ask what do they provide and approx how much it would cost.

lola_run

Well, I've read on one thread that one can write off an investment property against income tax.

calsatron

No thats not correct.

You can write off mortage interest costs against the rental income from an investment property, along with a host of other expenses. This will effectively reduce the income from the property and therefore reduce any tax liability you may have on it.

However any disposal of the property will incur Capital Gains Tax at the appropriate rate, whatever those may be when you dispose of it.

If the property is oversea's it will be highly dependent on Irelands tax agreements with that country, if it has one. You may be liable for additional local taxation.

Kinetic^

lola_run wrote:

Well, I've read on one thread that one can write off an investment property against income tax.

Well ya should really give the full info when you ask a question. I still recommend you contact an accountant.

MartMax

Your accountant will need the information as much as possible - every piece of details might have tax implications.

Marty

p/s : Kenny... go home...

chump

lola you definitely need to see an accountant.

You need to figure out the benefits of making the 'premises' a business asset versus maintaining independent owerership thereof.

I wonder if it is possible to 'own' the premises, perhaps in the name of a spouse/etc., and rent it to a separate 'limited' company run by yourself.

Then the owner of the premises could claim interest relief on the rent received from the company.

There's probably some close company rules around this though as ultimately your spouse will be a participator in the company.

Kinetic^

mart_max wrote:

p/s : Kenny... go home...

Be nice Mart Max, I am home, enjoying my time off