Section 23 relief set against other rental income

[Graham_07]

Anyone know if S.23 type relief can be set against rental income from holiday type lettings or only against regular domestic type lettings. the case involves 1 sectioned property and both holiday and domestic lettings on several other properties, is the relief restricted to the domestic type lettings only? Cant find any guidance from Revenue leaflets. Thanks in advance

 

[snowdrop]

I have a section 23 property (short term holiday/tourist rentals). My understanding (and my accountant) is that the relief can be written off against any Republic of Ireland/domestic rental income - ie residential, commercial or short term.

One word of warning re section 23 - be very careful ref the VAT situation, get good, experienced, informed advice, because you can open yourself to having your other rental income vatable, depending on what you do.

There's a bit of a minefield out there and not every professional (legal, financial etc) is fully up to speed on the tax and VAT implications of section 23.

 

[Graham_07]

Thanks for that Snowdrop. On a bit of further checking yesterday the only references anywhere in official guides from Revenue or from financial advisers sites all refer to "all other irish rental income". Nowhere is there any further breakdown of that so the only exclusion would appear to be foreign rental income.