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what can I claim as tax deduction?

Discussion in 'Accounting & Tax' started by kevilian, 21st May, 2016.

  1. kevilian

    kevilian Active Member

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    Hello, experts here!
    I recently secured a top up loan from bank N, Last week I just signed the contract to buy an investment property. I intend to borrow 80% of the property price from bank W, the rest will come from the top up loan.

    My question is: can I pay all fees and charges related to the purchase from the top up loan and claim the interest as tax deductible? like stamp duty, transfer duty, depreciation report fee, building and pest inspection fee? if not all of them , which items I can claim?

    I know some cases that investment loan amount = the property price + stamp duty, and claim all interests as tax deductible...
     
  2. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    What do you mean by 'top up loan' - specifically how was it structured?

    If you borrow to invest then the interest is generally deductible but it depends how you have done it.
     
  3. kevilian

    kevilian Active Member

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    Thanks Terry, the top up loan is just a separate interest-only investment loan
     
    Last edited: 21st May, 2016
  4. kevilian

    kevilian Active Member

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    so @Terry_w, can I understand as such: as long as I use the money in the investment loan from bank N for the investment property, ( the transaction can prove it ), the interest are tax deductible, including all pre purchase cost.
    Thanks!
     
  5. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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