C
cailín deas
Guest
Hi,
I've read a number of posts on the topic of rental income and would appreciate clarification on what I've picked up.
I own a house. Today I moved out of my house and a tenant moved in. In 2 months I will leave the country and return next August.
I pay €718 in interest on my mortgage every month.
It cost me €350 to rent the house through an agent.
The tenant will pay €650 per month.
€650 x 12 months = €7800 (rental income)
€718 x 12 months = €8616 (interest on mortgage)
€350 one off payment (I hope)
Am I correct when I write:
I am no longer eligible for TRS against my mortgage and need to contact the revenue to declare same?
However to replace the TRS I'm loosing I can claim back some of the interest I'm paying against the rental income?
I apply for this interest relief by contacting the revenue?
I will not have to pay any tax on the rental income as it is less than €10,000?
Have I got that right?
What I can't see is how I calculate how much interest relief I will get against the rental income. This is very important as I need to find out if I will be loosing alot of money when I own up to the revenue and loose my TRS.
Many thanks for your expertise.
I've read a number of posts on the topic of rental income and would appreciate clarification on what I've picked up.
I own a house. Today I moved out of my house and a tenant moved in. In 2 months I will leave the country and return next August.
I pay €718 in interest on my mortgage every month.
It cost me €350 to rent the house through an agent.
The tenant will pay €650 per month.
€650 x 12 months = €7800 (rental income)
€718 x 12 months = €8616 (interest on mortgage)
€350 one off payment (I hope)
Am I correct when I write:
I am no longer eligible for TRS against my mortgage and need to contact the revenue to declare same?
However to replace the TRS I'm loosing I can claim back some of the interest I'm paying against the rental income?
I apply for this interest relief by contacting the revenue?
I will not have to pay any tax on the rental income as it is less than €10,000?
Have I got that right?
What I can't see is how I calculate how much interest relief I will get against the rental income. This is very important as I need to find out if I will be loosing alot of money when I own up to the revenue and loose my TRS.
Many thanks for your expertise.