Can anyone in the know answer this, I would also like to know! Does it kick in 1st Jan 2009, or May 2009 (when it was introduced/announced)??
from 07/04/09
Thanks papervalue. Just to be clear, this means interest payed up until 07/04/09 can be put 100% against income, and interest after 07/04/09 can be put 75% against rental income??
Can anyone in the know answer this, I would also like to know! Does it kick in 1st Jan 2009, or May 2009 (when it was introduced/announced)??
A Revenue Guide to Rental Income - IT 70
What is the position with regard to interest paid on borrowings?
Where a loan has been used to purchase, improve or repair a rented residential property and the interest on the loan accrues on or after 7 April 2009 (Budget Day), only 75% of the interest on the loan can be deducted as a rental expense instead of the normal 100%. For the purposes of the restriction, the interest is treated as accruing on a daily basis. The date the loan is taken out is not relevant.