To offset interest paid on loan against rental income for 2009, can I offset 100% of lst 3 months interest to 7/4/09 and then 75% of balance or is it effective for the whole year?
Given interest rates were falling from the beginning of the year, you're probably better off working out exact interest paid in the first 3 months, rather than doing an apportionment, as your relief will be higher.
Thank you for that. Is it not necessary to get an actual statement from mortgage supplier stating interest to 6/4 and interest 7/4 to 31/12/09? or can you just average things out?
An actual statement split would be ideal if that can be obtained. However in the absence of that a simple apportionment 96/365 at 100% and 269/365 at 75% would be the approach that Revenue would expect to be taken.
I've done a calculation based on all the rate changes and against using the folmula 96/365 @ 100% + 269/365 @75% my net difference on Mortgage Interest of €2098 is €22.93.
Unless you have a really substantial amount it's really not worth the hassle!