Nama - Partnership Investment

F

Flower123

Guest
Hi,
I am wondering if you can help me? I own 10% of a partnership which is now in NAMA. I am doing my 2010 final tax and 2011 prelliminary tax at the moment. This partnership made a profit in 2011. Do I still have to pay income tax on this investment now that it is in Nama or not? Is there any way of recovering this income tax from NAMA? Thanks for your help
 
I don't see why NAMA would affect it at all?

Last year, the partnership owed €xm to Bank of Ireland. Now it owes €xm to NAMA. This does not change the profit or loss.

Brendan
 
If you didn't receive an income from your interest in the company, then no.

If you received an income from it, then yes, possibly depending on your other tax affairs.
 
Onq I spoke to an accoutnant and he seemed very sure that I still have to pay tax even though I don't receive the income this year. Nama receive the income.
 
It's highly probable that your accountant advised you correctly. I.e. NAMA did not recieve the income in the eyes of the Revenue. Assuming that you have appropriately offset all charges (including interest) against the gross income the net profit is assessable to income tax on you and other partners and not on NAMA. I'm assuming that the respective properties are still in the partnership names and not taken over by NAMA. Payments of capital to NAMA or any other lender is not an allowable expense for income tax purposes. Your accountant will probably have advised you of this.
 
OP the info provided is sparce. I will surmise that you invested in a property syndicate which bought a property with a bank loan. That bank loan was transferred to NAMA.

My understanding is that the partnership owns the property and that rental income is due to the owners. It may be physically paid to NAMA but that just the tenant paying the landlord and the landlord paying NAMA.

Income tax is due on the Rental income less the usual deductions.
 
You must log in or register to reply here.
Back
Top