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Buying Costs - Interest

Discussion in 'Accounting & Tax' started by Frosty123, 25th Nov, 2015.

  1. Frosty123

    Frosty123 Well-Known Member

    Joined:
    12th Nov, 2015
    Posts:
    58
    Location:
    VIC
    Hi all,

    I recently released equity in my property, and had the funds drawn down into a new offset against a new loan.
    I plan on paying the 20% deposit for a new IP using these funds.
    With the leftover money in the offset, can I use it for the following, and still be able to deduct 100% of the interest incurred on the loan:

    Building and Pest
    Stamp Duty
    Solicitor's Fees
    Loan Application Fees etc.

    Thanks

    Frosty
     
  2. joel

    joel Well-Known Member

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    23rd Jun, 2015
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    854
    Location:
    Adelaide
    Not an accountant but I'd say yes.
     
    Last edited: 25th Nov, 2015
    D.T. likes this.
  3. Terry_w

    Terry_w Well-Known Member Business Member

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  4. Frosty123

    Frosty123 Well-Known Member

    Joined:
    12th Nov, 2015
    Posts:
    58
    Location:
    VIC
    Thanks guys.
    The offset account was created with the loan and only has funds that were drawn down from the equity. The property will be on the market to rent out after settlement.
    Sounds like these buying costs can be taken from the leftover funds in the offset.