Can you claim interest on your whole cost base?

I still have debt on my place of resident let say 700k . I bought a IP for 400k that with the expenses has costed me 415 K . I got a lone for 350K and Paid the rest with Cash. Can I calculate the interest for my IP on the loan 350K plus 65 K from my PPOR loan.

 

No - well it depends. You say 'cash' but also say $65k from your PPOR loan.

If you borrowed the $65k then maybe you could claim the interest on this. But there are many issues.

See my tax tips about interest deductibility.

 

I'm confused too by the expression "$65K from my PPOR loan" v's the $350K paid by borrowed funds.

 

I think he means that he borrowed 350k to purchase the IP and also pulled 65k from his PPOR as a deposit plus costs. He may be confusing 'cash' with the funds he pulled out of his PPOR.
I think he is asking is the interest on the 65k deductible also? Of course there are is alot of guessing here. Perhaps the OP can elaborate a bit more for us to get a better understanding of the situation? I hope the 65k was pulled via a split or its going to be a urine smelling mess.

 

Sorry to confuse you. I had 65 in my offset account and used it to pay for purchasing IP. Can I use the interest on 65K included in my costs?

 

no

 

Tax Tip 9: Don’t use Cash in Offset account to Invest Tax Tip 9: Don’t use Cash in Offset account to Invest