Hi all,
Looking desperately for some advise. Some may say I was turning the blind eye, but I honestly never knew about this Stamp Duty Claw back cause.
I bought the house back in August last year, was living there in one of my rooms (I rent the rooms in the rent a room scheme) I decided to move out November as I was advised to by my accountant. As whilst in the house I can make upto 10k tax free and anything over that is taxable. He advised once I moved out the property no longer is my primary residence and that I could claim expenses and the interest on my mortgage as an expense thus drive down the tax I owed.
Seems this is not the case? I was misadvised, it wasn't intentional. I'm a new start, and assumed what the accountant said was gospil.
I'm stuck now, and unsure on where to go... I can't afford the mortgage, as it was never bought to live in.
But, if i continue to rent the rooms, I'll be done for the stamp duty claw back. and from what I read will be taxed on the total income of the house?
If I move back in and rent a room, the house will make over the €10k mark which means I won't be ledgable for the rent a room scheme. and I assume the total revenue made on the house will be added to my gross income, so will be charged at 42%??
I'm lost on where to go, nobody I've spoken to seems to have answers... would I be better off selling?? even if the housing economy is at an all time low??
Awaiting your help, and guidance!!!
thanks a mill
Jon
Looking desperately for some advise. Some may say I was turning the blind eye, but I honestly never knew about this Stamp Duty Claw back cause.
I bought the house back in August last year, was living there in one of my rooms (I rent the rooms in the rent a room scheme) I decided to move out November as I was advised to by my accountant. As whilst in the house I can make upto 10k tax free and anything over that is taxable. He advised once I moved out the property no longer is my primary residence and that I could claim expenses and the interest on my mortgage as an expense thus drive down the tax I owed.
Seems this is not the case? I was misadvised, it wasn't intentional. I'm a new start, and assumed what the accountant said was gospil.
I'm stuck now, and unsure on where to go... I can't afford the mortgage, as it was never bought to live in.
But, if i continue to rent the rooms, I'll be done for the stamp duty claw back. and from what I read will be taxed on the total income of the house?
If I move back in and rent a room, the house will make over the €10k mark which means I won't be ledgable for the rent a room scheme. and I assume the total revenue made on the house will be added to my gross income, so will be charged at 42%??
I'm lost on where to go, nobody I've spoken to seems to have answers... would I be better off selling?? even if the housing economy is at an all time low??
Awaiting your help, and guidance!!!
thanks a mill
Jon