Mortgage Tax Relief Query

[Aimee]

I have a friend who was not aware of the TRS system and has not claimed interest relief for some years.

The following is the situ :-

Their (original) principal private residence is in her husbands name and the mortgage in place is approx €65,000-00. As the system changed in 2002 - can they claim back for this? I do think however they may have changed lenders since 2002 but I am not 100% sure.

They took out a new mortgage in Feb 2007 and have built a new house which is now their principal private residence - moving in last week - this mortgage is approx €300,000-00.

My question is as follows :-

1. Can they claim from 2002 to Feb 2007 for the original PPR - would obviously be claimed in his name only? And then claim from Feb 2007 to date for their new PPR - his name and her name - she is a FTB?

I hope this sets it out clearly, any advise would be welcome in order to set her off on the right path.

Thanks in advance,

A.

 

[ClubMan]

As the system changed in 2002 - can they claim back for this? I do think however they may have changed lenders since 2002 but I am not 100% sure.

They can only backdate claims for outstanding relief by 4 tax years - i.e. back to 2004 right now.

1. Can they claim from 2002 to Feb 2007 for the original PPR

As above they can only backdate claims to 2004. They can claim owner occupier mortgage interest tax relief on any property that was their PPR at the relevant time.

- would obviously be claimed in his name only?

If they were married then they can claim married relief even if the deeds/mortgage are in only one name. If they were unmarried then only those named on the deeds/mortgage can claim relief.

And then claim from Feb 2007 to date for their new PPR - his name and her name - she is a FTB?

He can still claim "FTB" relief if he has any of his 7 year "FTB" preferential relief period left. Ditto for her.

 

[Aimee]

Thanks a mill Clubman, thats great.

They were only married last year so they cannot claim married relief on first property.

He does not qualify for FTB relief but she does for the new property.

Thanks again for your reply.

A

 

[allthedoyles]

Claim TRS . But dont forget to also claim for Home improvements - if you have personal loan , just ask bank for certificate of intertest and send to tax office .You can claim for painting plumbing landscaping etc . Check out revenue.ie leaflet IT60. Its got all the details