TRS query - tax year basis?

I just have a query in relation to TRS. My repayments are lower than expected since the TRS was applied. I had expected to receive a credit of €133 per month (single & FTB) but it is working out at much more than that. My mortgage started in August but I'm just wondering if I get credit for the €8,000 ceiling for the entire tax year? Just trying to figure out how it has been calculated. Thanks.

depends on how much interest you are paying annually. €8,000 is the ceiling for the whole tax year but you benefit at the %20 rate.

Post some hard figures and people might find it easier to comment.

Sorry if there wasn't enough detail in my earlier post. I will pay approx €6k of interest this year ie from August 2007 to December 2007 on a fixed rate mortgage. My understanding was that I would receive a tax credit of €133 per month ie (€8k x 20%)/12. Instead of that I appear to be getting relief for the entire amount of interest estimated for the year ie (€6k x 20%). Since my repayments started in Sept and I only have four repayments this year, the tax credit is quite significant each month and means my repayments at the moment are a lot lower than I expected. I have tried to calculate it but it is not working out exactly for me, that's why I wondered if anyone could confirm how they calculate it. Presumably from 1st Jan 2008, the tax relief will revert to €133 per month plus the additional €33 per month credit promised. Thanks.

Celt07 said:

Instead of that I appear to be getting relief for the entire amount of interest estimated for the year ie (€6k x 20%).

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Sounds correct to me - in 2007 you will pay less than the €8K cap on relief so you get relief on the full amount that you actually pay (€6K x 20%) = €1,200 which, over 5 months means €240 p.m. for the moment. If, next year, you pay c. (€6K / 5) * 12 = €14,400 interest then you will get relief on just €8K.

Presumably from 1st Jan 2008, the tax relief will revert to €133 per month plus the additional €33 per month credit promised. Thanks.

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Yes but I don't know what the extra €33 is. Is this some Budget 2008 promise to increase relief or something?

Thanks for that. It was a bit of a an unexpected bonus especially since the first months after buying a new house are always fairly expensive. As for the €33, before the election FF promised to increase the ceiling to €10,000 from €8,000. They did stick to their promise of stamp duty change for FTBs so hopefully they don't forget about this one!