Moving FTB Interest Relief

[Gtec]

Hi,

Looking for peoples advice on my current situation. Myself and my wife recently got married, both of us own property, and both are getting FTB Interest relief at source on our mortages.

The situation is that we are now renting out Her premises (and this process is complete in as that we have tennants in the property). I understand that there will be a tax implication on the difference between the interest portion of the mortage on that property and the rent collected.

My question is presumably the FTB interest relief on my wifes mortage will no longer be payable as it is no longer her PPR, but since she has moved into my house, can i claim Interst relief on my mortgare as a couple (I currently get it as a single person)

Hope this makes sense?
Thanks

 

[webtax]

Your wife will need to inform her mortgage provider that she is no longer entitled to mortgage interest relief. Instead, the mortage interest paid on the rental property is one of the expenses that is deducted from your rental income when calculating tax. Note you must register the property with the ptrb in order to claim the interest as an expense.

 

[contractor]

I'd also like to know the answer to this. It's clear you cannot claim TRS on the wifes apartment, but what happens to the TRS on the house? As this is now the PPR of both and they are a married couple can they now claim the extra TRS for married couples or does this only apply if you are married when buying the property?

 

[Dreamerb]

As this is now the PPR of both and they are a married couple can they now claim the extra TRS for married couples ...[snip]

Yes.

or does this only apply if you are married when buying the property?

No - and it would probably be unconstitutional if it did!

In fact, you don't have to be married to claim the tax relief of both parties provided you both fill in the TRS form.

 

[Gtec]

Thanks for the replies.

The rented property is registered with prtb, so that side of it is in order.

Now we just need to sort out the TRS, one last question, my understanding is that the TRS applies for a limited time period, how does this work with us getting a couples TRS on the place we now boith live given that my wife was getting TRS for 4 years on her house, and I have been getting it for 2 years on my house which is now the PPR for both of us?

Thanks again