How to calculate tax on a rental income?

[harry]

I'm taking a 2 yr career break and plan on speending the full 2 yrs travelling in Australia. I want to rent out my apartment while I'm away. I should get around 1000 euro per month for it.
Is there any way I can work out how much I will be left with after tax to put towards the mortgage? If the shortfall is too high it may not be worth my while going as I don't plan on working while I'm there.

 

[WaterSprite]

The easiest way to get a very quick figure is to take your rent for the year (12000), take away 75% of your mortgage interest for the year, take away about €100 a month for insurance, wear and tear etc for the year (probably conservative), calculate tax on the difference. Then add the tax back onto your (total) mortgage payments each year and you know your total outlay for the year. If that amount is less than 12000, then you are in profit. If it's greater than 12000, then you are making a loss.

Note, this is very general & doesn't take into account other expenses that you may have to pay and/or may be able to deduct, but takes into account the headline items.

 

[mathepac]

Nor does it tke into account any change in interest rates your mortgage provider might want to implement as the property is no longer your PPR, PRTB registration fee, annual NPPR fee, loss of TRS (if you currently qualify), 20% with-holding tax on the rent if you don't appoint a local agent to collect rent (non-resident landlord).