Would an investor have been exempt from SD on such a purchase 3 years ago? If so then if you rent it out within 5 years of purchase then you presumably have no clawback SD liability.3 years ago I purchased my first home and have lived there since, with a purchase price underneath 127,000 Euro. I therefore presume there would be no clawback on stamp duty if I was to rent out the property?
Don't think so.Would there be claw back on interest relief at source I have paid up to that date were I to rent the property?
If you are not actually an owner occupier and are not sure that you will be presently then I don't see how you can declare yourseld to be one. Was 4% investor or non FTB owner occupier SD? If you are or will be an owner occupier why did you take out an investment mortgage (presumably at a higher rate than normal)?A few months ago I purchased a second hand-house in another part of the country, and it looks like I could be moving down there. I have paid stamp duty in full for this property (@4%, value 230K). I took out an investment style mortgage (interest only, NIB) and put myself down as an owner occupier on the title / deeds. Is this in itself a problem?
Where exactly were you declaring this status?What would be the difference if I was to have put down invester on the title / deeds (especially from a tax viewpoint)?
This is not a discretionary issue. Your PPR is the one which you live in normally. Sounds to me like your original property is still your PPR.I believe that how I deem which house to be my PPR is dependent on how I do my tax returns?! Or is there another issue that I haven't considered?
You can't make it your PPR or deem yourself resident - it is either your PPR or it's not. If it is your PPR and never rented out the any resale gain is exempt from CGT.Also, (looking into my crystal ball in the future) would I be correct in assuming that if I was able to make my second house my PPR for one year, I would then be able to sell it on and not have to pay CGT on it (as I am deeming myself as resident of that house for one year).
No - as above it is only your PPR if you actually live there normally/full time. Which property is your PPR is not at your discretion to decide.Also, I could show my new house as PPR by having my name on various bills (ESB/GAS) etc. Would this be sufficent?
You don't have to prove it unless asked. CGT is a self assessment tax.Quote:
Originally Posted by Clubman http://www.askaboutmoney.com/showthread.php?p=300065#post300065
No - as above it is only your PPR if you actually live there normally/full time. Which property is your PPR is not at your discretion to decide.
I am going to live in my second property in a few months time. So yes, this will then be my PPR. If I was then to sell this property in a year or so, how can I prove to the revenue that this is my PPR (rather than my first house) to avoid paying CGT. Or do you not have to prove that when selling?!
Do the title/deeds of a property say anything about your buyer status (owner occupier or investor)? I didn't think so.Quote:
Originally Posted by Jugovichttp://www.askaboutmoney.com/showthread.php?p=300065#post300065
What would be the difference if I was to have put down invester on the title / deeds (especially from a tax viewpoint)? .
Quote:
Originally Posted by Clubman
Where exactly were you declaring this status?
I suppose this is a general question. Sa, for example, you are down as investor on the title and deeds of a property, you can still live in the house fulltime and for it then to be your PPR. You could also then in the future sell the property and avoid paying CGT.
If you are going to move into/live in this property as your PPR then I guess that's fine. So by investment mortgage you simply mean interest only? The two terms are not actually interchangeble and an owner occupier could have an interest only mortgage too. Note also that some investor mortgages charge higher rates than their owner occupier equivalents.Quote:
Originally Posted by Clubmanhttp://www.askaboutmoney.com/showthread.php?p=300065#post300065
If you are not actually an owner occupier and are not sure that you will be presently then I don't see how you can declare yourseld to be one. Was 4% investor or non FTB owner occupier SD? If you are or will be an owner occupier why did you take out an investment mortgage (presumably at a higher rate than normal)?
I took out an investment mortgage to allow interest only payments on the property. When I was then signing the contract with the solicitor, I was asked whether I wanted to put down 'investor' or 'owner occupier' on the title and deeds. I choose 'owner occupier'.
See above. I don't think so.Is there a problem in that my mortgage type is 'investment' but I am down as an 'owner occupier' on the title and deeds?
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