certificate of interest

[oaky8]

just received a certificate of interest from the bank for 2006 for 5600 how much interest relief do i get on this amount on my income tax form does anybody know.

 

[Squonk]

Is that a savings account? If so, you must pay DIRT (unless your >65 I believe).

 

[ClubMan]

Is that a savings account? If so, you must pay DIRT (unless your >65 I believe).

I presume it relates to a mortgage given the forum that we're in!

just received a certificate of interest from the bank for 2006 for 5600 how much interest relief do i get on this amount on my income tax form does anybody know.

I presume that you are an owner occupier? If so were you a first time buyer and when did you buy the property (e.g. was it in the last 7 tas years)? That will determine the maximum relief to which you are entitled. See [broken link removed]. You should be getting owner occupier mortgage interest relief at source rather than through your statement of tax credits. See [broken link removed].

 

[oaky8]

yes it relates to a mortgage and i am an owner occupier but not a first time buyer.

 

[ClubMan]

OK - if you are a single non FTB owner occupier then a maximum of €2,540 (2006) or €3,000 (2007) mortgage interest qualifies for tax relief of 20% at source. This means that your repayments should be reduced by €2,540 @ 20% / 12 = €42.33 p.m. in 2006 or €3,000 @ 20% / 12 = €50 p.m. in 2007. As I say this relief should have been granted at source by the lender and if it wasn't then either they or Revenue may not have up to date details about you, you may need to sort this out and claim for outstanding relief over the past 4 or fewer years.

 

[Dreamerb]

just received a certificate of interest from the bank for 2006 for 5600 how much interest relief do i get on this amount on my income tax form does anybody know.

Are you sure you haven't already had interest relief granted at source? The bank sends out the certificate of interest irrespective of whether you have been granted relief or are entitled to it - it's for your own financial records. Check your mortgage and bank statements to verify.

 

[oaky8]

im sure i dont get tax relief at source. im self employed but i think my accountant enters a relief on my annual tax bill to reduce my liability . not sure how he works it out . i will find out from him and update here.