TRS is it possible for me to claim a full 7 years relief?

[sully]

Hi There,


Just wondering what happens in this situation.

If a person claims TRS form June 2003 to June 2005 is this regarded as just 2 years TRS or in tax terms is it 3 years?

ie in calendar terms its 2 years but is this regarded the same way by revenue or do they see it as Tax year 2003, tax year 2004 and tax year 2005?? so that it would be 3 years of TRS that is claimed.( even though you only get relief for 24 months??

Very confused by all this...

Then if you were to buy again in october 2007. is it better to start your claim in January 2008 to get the maximum relief or do you have to calim from the date you paid the mortgage. Ie 3months TRS relief in 07.


sorry for the long post.

 

[ClubMan]

If a person claims TRS form June 2003 to June 2005 is this regarded as just 2 years TRS or in tax terms is it 3 years?

ie in calendar terms its 2 years but is this regarded the same way by revenue or do they see it as Tax year 2003, tax year 2004 and tax year 2005?? so that it would be 3 years of TRS that is claimed.( even though you only get relief for 24 months??

I think it may be calculated in months rather than years but am not 100% sure.

Then if you were to buy again in october 2007. is it better to start your claim in January 2008 to get the maximum relief or do you have to calim from the date you paid the mortgage. Ie 3months TRS relief in 07.

Again I think that it's months that matter here in which case you should just claim from when you start paying the mortgage. As you probably know if you used up, say, 3 years of your "FTB" relief prior to this then you still qualify for the remaining 4 years of your 7 year "FTB" relief period.

 

[sully]

Hi Clubman thanks for the reply,

Thats what is confusing me . i thought i read somewhere that partial years were considered as a full TRS relief year in terms of the 7 year FTB relief. But can't find where i read that.


So in theory you reckon i only have 2 years(24Months) of TRS used up and not the 3 different tax year periods?

Thats what i was hoping to hear ;-)

 

[ClubMan]

OK - I'm not sure to be honest so definitely get more authoritative info on this. Is there nothing on the Revenue website that clarifies?

 

[sully]

Ok I rang the Tax office there,

They are saying that they treat it as 3 different tax years and give you the relief on the interest charged in each year. I kinda knew that would be the case but was hoping it wasn't.

So its a bit unfavourable to people who only buy halfway through a year. Unless of course their interest in that period is the Max interest allowed but not many FTB couples would be paying 20K in interest in 3 months?

And i cant just claim from 2008 as that then would be a false claim. so raising the FTB relief isn't that much benefit to me for those years, unfortunately.

There is nothing on the revenue site that clarifies this situation. so it means people will get most TRS benefit if they buy their house at the start of a tax year. I wish i knew that sooner....