Lived in the Netherlands and bought a house while I was there: FTB or not?

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wheeler

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Hi - I lived in the Netherlands for a while and bought a house while I was there. Mortgage is with a dutch bank.

I then moved back to Ireland and bought a house here. Mortgage is with an Irish bank.

I registered NOT as a FTB - but should I have?
 
Re: FTB or not?

whelanfiona said:
I registered NOT as a FTB - but should I have?
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Yes.

For issues such as SD (and everything else) you were/are no longer a FTB.

The issue which is probably clouding the issue is TRS. You may claim TRS for up to 7 years from the original purchase (doesn't matter if you sell the time keeps ticking on the 7 year term). For TRS you may still claim the FTB relief for the full 7 year term, even if you sell to purchase a new property. It doesn't make you a FTB, but you may not have fully used up your FTB relief, which began with the initial purchase.
 
Re: FTB or not?

I didn't sell... i kept the first one for investment. Does this matter?

So are you saying:

1) I can reapply to be treated as a FTB.
2) I can claw back the FTB tax relief that I haven't claimed so far that applies to the house in Ireland. (So far I claimed 'ordinary' interest relief)


BTW - I paid stamp duty in Holland on initial purchase so I assume the stamp duty issue doesn't kick in here based on double taxation rules even though I'm renting it now and declaring income here.

House here was new and fell outside of stamp duty rates.
 
Re: FTB or not?

Just talked with the revenue and they tell me that I am an FTB from when I bought my house here in Ireland. My house abroad doesn't count?
 
Re: FTB or not?

whelanfiona said:
Just talked with the revenue and they tell me that I am an FTB from when I bought my house here in Ireland. My house abroad doesn't count?
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Not sure who you talked too, but they are 100% wrong!

Straight from the Revenue site.
Revenue said:
Who is a first time buyer?
A first time buyer is a person, (or, where there is more than one buyer, each of such persons):
who has not on any previous occasion, either individually or jointly, purchased or built on his/her own behalf a house (in Ireland or abroad)
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[broken link removed]
 
Re: FTB or not?

whelanfiona said:
1) I can reapply to be treated as a FTB.
2) I can claw back the FTB tax relief that I haven't claimed so far that applies to the house in Ireland. (So far I claimed 'ordinary' interest relief)
Click to expand...

1) Reapply under what scheme or section?
You bought a house, it doesn't matter where, so you are no longer a FTB.

2) FTB TRS is only available on your PPR. You may backdate the TRS (at the higher rate) to when the Irish property became your PPR (and as long as you are still within your FTB TRS 7 year term). Any mortgage interest relief claimed on the Dutch property since it hasn't been your PPR is due/should be paid back.

The higher rate of TRS is available for 7 years, it doesn't matter what property it is claimed on (though it must be your PPR) or how many properties you buy and sell in this time.

[Being eligible for FTB rates of TRS and being a FTB are completely different. When you buy a property a 7 year term of higher mortgage interest relief begins. Just because you may recieve this higher rate on a second property, if you trade up within the 7 years, does not make you a FTB. Once you own a property, you are not a FTB.]
 
Re: FTB or not?

whelanfiona said:
BTW - I paid stamp duty in Holland on initial purchase so I assume the stamp duty issue doesn't kick in here based on double taxation rules even though I'm renting it now and declaring income here.
Click to expand...

There is no such thing as a double taxation agreement in relation to stamp duty. This is a tax on a transaction, not on income which is where double taxation agreements apply. By the same token why do I have to pay VAT on that Mars bar I bought yesterday, sure didn't I pay VAT the last time I bought one when I was on my holliers in Paris?

There's a lot of very confused logic on this thread, you should really talk to a professional (not Revenue) to clear things up for yourself.
 
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