Tax implications

G

gebbel

Registered User
Messages
1,005
I have just bought an apartment and am in 2 minds whether to live in 1 of the 2 rooms myself, and rent out the other one, the other option being to rent it all out. I am paying only €200 pm at the moment and this will not rise further. My question is this: what are the tax implications of renting the apartment out, versus living in it myself and renting only 1 room out? Will my PAYE payments go up in any case?

Thanks
 
gebbel said:
I am paying only €200 pm at the moment and this will not rise further.
Click to expand...
For what? Mortgage repayments? Rent? Something else?
My question is this: what are the tax implications of renting the apartment out, versus living in it myself and renting only 1 room out?
Click to expand...
Have you read the FAQ?

Property Investment FAQ

You will be liable for a clawback of stamp duty if you rent the property out fully or take in more than the rent a room scheme limit of €7,620 p.a. in rental income. Your rental income (less allowable expenses) would be assessable for income tax. Any eventual capital gain on selling the property would be assessable for CGT.
Will my PAYE payments go up in any case?
Click to expand...
Rental income is self assessed and not processed via PAYE.

You really should get independent, professional advice on the investment and taxation implications of renting the property out.
 
You must log in or register to reply here.
Back
Top