Are Legal Fees for switching a rental property mortgage tax deductible

[David79]

Hi,

Earlier this year I switched the the mortgage on my rental property to a new lender, I paid about 1,500 euro in legal fees for this as well as having to pay 150 euro for a property valuation. When filing my tax returns next year will these costs be items that I can offset against my rental income?

Thanks

 

[Joe_90]

No

 

[David79]

Quick and painful thanks Joe

 

[SMAEL17]

No

I can't find info on this on the Revenue Web-Site. Are you sure it's not allowed?

If a % of Mortgage Interest is Allowable, is it not logical that Fees to give a net reduction in this cost over time, are also allowable?

 

[DB74]

No because those legal fees have nothing to do with the actually renting of the property

eg - Accountants fees are allowed against rental income but only due to a Revenue concession as strictly speaking they are also nothing to do with the actual letting of the property. Similarly the payment of life assurance on a rental property was only allowed recently (< 10 years) after it was successfully argued that some banks were insisting on it as a condition of the mortgage. Before that it wasn't allowed

You could argue that the legal fees are allowable when you do a CGT comp but Revenue could also argue against that position too as they don't actually have anything to do with either the buying or selling of the property, and I'd probably agree with them on that one.