If I make a loss on my rental income, do I have to pay tax?

Pauley said:
...Cheez they certainly know how to complicate things. I can't inflict that sort of overhead on my siblings! So either the tenant becomes liable and witholds 20% of the rent or my appointed agent becomes the rent recipient and has the joy of filling out another tax return. What a mess...
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All you have to do is fill out everything for the sibling. Pay your sibling as you would a professional, renting is a business treat it as such.

Do not let a tenant withhold 20% of the rent ever.
 
SLS said:
For those of us that aren't lucky enough to have siblings that can act as agents, how do you go about finding a "good" agent?
All of the discussions on this site and others whenever this discussion starts basically just state very usefully, stay well away from them.

Not really an option when you are moving overseas. We are hoping to go in next 6 months so just wondering where to start looking?
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If at all possible, avoid agents. We also had to go abroad, didn't have anyone to look after our property and hired a very reputable local agent with a large national firm.

They stole 4 months rent, pocketed our tax return and left us with tax to pay on rental income that they had collected the following year.

The branch it transpired was a franchise and they went bust. They knew for about 5 months that they were going under and lied to us constantly that the rent had been transferred to our account, or that there had been a mistake at the bank, or that the manager was dealing with it and wasn't available or was out sick, etc.

When you're on the other side of the world, this can be extremely distressing so if you possibly can, get someone you know and trust to look after your property.

The next agent we hired after this disaster was equally as bad allowing tenants into the property without checking their faked references, the tenants subsequently lived in the house rent free for 6 months until we managed to secure a very expensive court order and bailiff's order to get them out.

I would never, ever use an agent again.
 
delgirl said:
If at all possible, avoid agents. We also had to go abroad, didn't have anyone to look after our property and hired a very reputable local agent with a large national firm.

They stole 4 months rent, pocketed our tax return and left us with tax to pay on rental income that they had collected the following year.

The branch it transpired was a franchise and they went bust. They knew for about 5 months that they were going under and lied to us constantly that the rent had been transferred to our account, or that there had been a mistake at the bank, or that the manager was dealing with it and wasn't available or was out sick, etc.

When you're on the other side of the world, this can be extremely distressing so if you possibly can, get someone you know and trust to look after your property.

The next agent we hired after this disaster was equally as bad allowing tenants into the property without checking their faked references, the tenants subsequently lived in the house rent free for 6 months until we managed to secure a very expensive court order and bailiff's order to get them out.

I would never, ever use an agent again.
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Thanks for your response but not really helpful. If you are relocating to the other side of the world, you need a local agent. How about naming and shaming the bad ones so that people avoid them ..
 
SLS said:
Thanks for your response but not really helpful. If you are relocating to the other side of the world, you need a local agent. How about naming and shaming the bad ones so that people avoid them ..
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Sorry that you didn't find my response helpful.

The aim was to warn you of the potential pitfalls when dealing with agents based on personal experience with two separate agents.

If you're off to the other side of the world, it's an easy option to appoint an agent, but if a close family friend or relative can do the job for a fraction of the fee you would pay an agent, I would choose this option every time.

If you are in the South Dublin area, you might want to try Daphne Kaye in Foxrock. We rented from them when we came to live in Dublin - they are very thorough in their vetting process and property inspections and act very much in the landlord's interest.
 
Hi, I have a similar query on the 20% withholding tax on rent paid to non-resident landlords. My sister is currently renting her house for the last year but has moved abroad. Would she be deemed non-resident for this immediately? Are there rules about being non-ordinarily resident for three years before becoming non-resident? Thanks
 
If the loan used to buy the property was taken out before 7/4/2009 is 100% relief than allowed in respect of the interest?
 
dewdrop said:
If the loan used to buy the property was taken out before 7/4/2009 is 100% relief than allowed in respect of the interest?
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No - it's not to do with when you take out the loan, it's to do with the tax year you are filing for. Since April 7, 2009, you can only claim 75% of the mortgage interest, regardless of when you take out the loan. You can claim 100% of mortgage interest paid prior to April 2009.
 
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