X

Sign Up

or

By signing up I agree to Property Tribes Terms and Conditions


Already a PT member? Log In

Sign Up

Sign Up With Facebook, Twitter, or Google

or


By signing up, I agree to Property Tribes Terms and Conditions


Already a PT member? Log In

Log In

or


Don't have an account? Sign Up

Forgot Password

To reset your password just enter the email address you registered with and we'll send you a link to access a new password.


Already a PT member? Log In

Don't have an account? Sign Up

  • Tax

    Claiming Mortgage Interest

    Need to double check my understanding on Mortgage Interest Relief.

    I've bought a house with cash by mortgaging my family property. My business will be the owner of the property via a declaration of trust. Is it possible for the business to claim Mortgage Interest Relief against my personal borrowing?

    R

    0
    0

    Hi Rob,

    If you can demonstrate that the house was mortgaged and creates a loan agreement for the house purchase then these interest costs can be claimed. We have spoken at length with HMRC about this on numerous occasions.

    The interest cost would still be a debt caused by the generation of rental income, thus the offset.

    However, you need to clearly demonstrate that the debt was caused by the purchase of a buy to let property.

    Hope this helps?

    0
    0

    Simon Misiewicz | Business Development Manager

    Optimise Accountants

    Telephone: 0115 939 4606

    website: http://www.optimiseaccountants.co.uk


    Does S24 come into play with this strategy!?

    I suspect because it is company debt then perhaps not.

    0
    0

    Thanks Simon, it does help greatly.

    Rob

    0
    0