Tax relief at source question

bobo

Registered User
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if my mortgage is €2038 pm (calculated manually myself) am i correct in calculating the tax relief at source to reduce it to €1904pm? i.e. ((2038*12)-1600) / 12

Also, myself and my girlfriend are first time buyers - how does TRS operate for us?
 
You need to clarify how much interest you are paying in the year in question. Then you can claim relief on the maximum amounts listed on [broken link removed] depending on your circumstances (e.g. FTB in first 7 years of mortgage or "other", single or joint buyer etc.).
 
just to clarify we are both buying a house and sharing the mortgage burden equally. since we do not fall into the married category then how is our tax relief configured? Can we both avail of TRS up to a max of 1600 each p.a. i.e. 3200 in total p.a. ? do we need to inform revenue of our tax status or is this done automatically for us by mortgage lender?
 
just to clarify we are both buying a house and sharing the mortgage burden equally. since we do not fall into the married category then how is our tax relief configured? Can we both avail of TRS up to a max of 1600 each p.a. i.e. 3200 in total p.a. ?
Yes if you are both in the FTB first 7 years category. You don't have to be married.
do we need to inform revenue of our tax status or is this done automatically for us by mortgage lender?
You need to claim the mortgage interest relief. You don't get it automatically. See [broken link removed].
 
I've just organised my first mortgage with BOI and I've been told by them that tax relief was already incorporated into the repayment figures they gave me.

I pay the mortgage every month and once a month they credit my account with the amount of tax relief I'm due. At least that's what I've been told by the bank, it's not in place yet.
 
Should the lender not be qoting gross repayments before application of TRS? Or at least quoting both the gross and net amounts?

You should double check that TRS is being applied correctly. Don't assume that this will happen correctly or depend on your lender to sort it out. You also need to claim the relief from Revenue. Without filling in the relevant form (e.g. TRS1) you will not get it.
 
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