Hi,
KBC are planning to force a sale on a property we've been renting since April 2008. There'll be a shortfall of 120k + on mortgage owed.
We've never registered property with PRTB or paid second home tax, property tax or household charge on it as we've never been able to afford it. We've been paying at least 200 euro per month on top of rent to cover interest only mortgage.
What are the implications for us tax-wise if we sell the house either with or without a PIP?
Average rental income of 7200 euro per year since May 2008 give or take a few months off between tenants. We always, naively, assumed that because we were paying out more than rental income we would not become liable for tax on rental income. As we never registered with PRTB, I gather than we can not even write off 75% of interest paid (which would probably cover rental income). If we now register with PRTB and plead ignorance is there a chance of sorting this out?
Any advice welcome.
KBC are planning to force a sale on a property we've been renting since April 2008. There'll be a shortfall of 120k + on mortgage owed.
We've never registered property with PRTB or paid second home tax, property tax or household charge on it as we've never been able to afford it. We've been paying at least 200 euro per month on top of rent to cover interest only mortgage.
What are the implications for us tax-wise if we sell the house either with or without a PIP?
Average rental income of 7200 euro per year since May 2008 give or take a few months off between tenants. We always, naively, assumed that because we were paying out more than rental income we would not become liable for tax on rental income. As we never registered with PRTB, I gather than we can not even write off 75% of interest paid (which would probably cover rental income). If we now register with PRTB and plead ignorance is there a chance of sorting this out?
Any advice welcome.