Claiming tax relief for mortgage paid to ex spouse.

Stanley Parks

I got divorced last year and as part of the order I pay half the mortgage on the old family home which will be transferred to the ex at an agreed date in the future.

As a result of what I pay and having to set up a home myself etc. I find myself always broke.

I have 2 queries:

1 Am I entitled to claim tax relief on the portion of the mortgage I pay? (It seems as if I am) , and

2 Will the ex end up getting screwed with paye usc etc on that amount? (She earns about 40k)

Broke & all as I am may not bother if she's gonna get screwed with tax on it.

Is anyone familiar with this scenario?

Thanks

Spear

We're not creating a new forum for the sake of this. Just ask in the pre-existing Tax forum:

https://www.boards.ie/categories/taxation

Boards.ie: Niamh

Moved to Taxation

downtheroad

https://www.boards.ie/discussion/2058253099/claiming-tax-relief-for-mortgage-paid-to-ex-spouse

You can claim tax relief on legally enforceable maintenance payments to your ex.

Your ex will then be subject to income tax, USC and PRSI on that same amount.

If she earns 40k she is in the higher tax bracket and will pay 52% tax on the income she receives from you if you go down this route.