Will tracker mortgages be taxed at next budget

This sounds like something a bank official might say to someone to try and get them to fix and give up their tracker. They would do anything to get people to give up trackers.
That said I dont think the government taking TRS away from some trackers mortgages is a bad idea when looking for cuts
 
I'm not sure how realistic or profitable this would be for the Government as most tracker customers are no longer eligible for TRS anyway, since they secured their mortgage over 7 years ago.

If the abolishment of TRS relief for tracker customers is to be introduced, it would only be people who took out a tracker mortgage over the last 7 years who would be penalised. Surely this in itself would be inequitable, as recent mortgage borrowers have more money to pay back, yet they would be the ones being punished?
 
Troy McClure said:
This sounds like something a bank official might say to someone to try and get them to fix and give up their tracker. They would do anything to get people to give up trackers.
Click to expand...

Sounds like that to me too.
I know how the government are goin to increase tax, without increasing tax anyway.

They are going to remove the €400 rent relief that renters get. Why on earth do people get tax back on rent is the thinking. They are also toying with removing TRS on all mortgages too. Not just trackers.

So there you have it. €400 a year from each tax paying tenant, you could even get 4 or 5 x €400 per house where people are sharing.
 
The rent tax relief was started to get landlords registered. As tenants needed landlords PPS numbers to get the relief.

They are already doing away with TRS. It's been phased out. From the end of next year I think.
 
minion said:
They are also toying with removing TRS on all mortgages too. Not just trackers.
.
Click to expand...

Hi Minion, what is your source on the above?

Can you imagine if they remove TRS from all mortgages - with rising variable rates and no more TRS, more and more people will default on mortgage repayments. This could turn out to be a complete mess.
 
Troy McClure said:
The rent tax relief was started to get landlords registered. As tenants needed landlords PPS numbers to get the relief.

They are already doing away with TRS. It's been phased out. From the end of next year I think.
Click to expand...

More money made from getting rid of rent relief than is made from non compliant landlord being caught by it. Creation of the PRTB has increased the number of landlords registering. The number of non comliants isnt really that high. Its a no brainer to remove it.

Paulk,
I cant tell you my source but its a good one.
Removal of TRS and rent relief is a far easier pill to swallow than property taxes and income tax incrases.
 
nacho_libre said:
According to their website they only offer the following mortgage types:

Variable Rate Mortgage
Offset Mortgage
LTV Mortgage

None of which are trackers
Click to expand...

I have just got a tracker from them but I am an existing customer. It is 2.15% above ECB.
I should have mentioned that I already have my mortgage with NIB and have recently got a second loan from them to do an extension. Because my existing mortgage is on a very generous tracker we wanted to keep the two loans seperate. The original tracker is 0.5% above ECB and the new one is 2.15% above ECB.

Maybe they are not doing trackers anymore for new mortgages?
 
NIB Mortgage Review

serotoninsid said:
Last time I checked that thread was locked for some reason (?). I wanted to add to it as I got a call from my bank asking for proof again of insurance cover (this - after they asked for written confirmation last year). I was curious if this was normal - or are they keeping a closer tab on it for other reasons?
Click to expand...
Last week they wanted me to send them confirmation of insurance. Earlier this morning I received this;


Dear XXXX,

I am currently in the process of reviewing your mortgage with National Irish Bank. Can you forward me a copy of your XXXXX life policy 101010101, I hold the policy details on file but I need the policy schedule.

Are there any other NIB tracker customers out there getting the same? Somethings up here?

EDIT - just rang them - apparently, just updating files due to branch closure and handover of docs to another branch...(was getting worried there for a minute!)
 
serotoninsid said:
Last week they wanted me to send them confirmation of insurance. Earlier this morning I received this;


Dear XXXX,

I am currently in the process of reviewing your mortgage with National Irish Bank. Can you forward me a copy of your XXXXX life policy 101010101, I hold the policy details on file but I need the policy schedule.

Are there any other NIB tracker customers out there getting the same? Somethings up here?

EDIT - just rang them - apparently, just updating files due to branch closure and handover of docs to another branch...(was getting worried there for a minute!)
Click to expand...

I think something is up with NIB that they have lost peoples information or something. Firstly they kept writing to me for insurance details and then they rang me to say their interest was not noted on the life policy or something like that and would I ring the life people and get it sorted. I told them I had given them all documentation which was passed before the money was released, but if they put their query in writing to me, I would look after it. I never heard anything else.
 
Jeez,
My Tracker is the only bit of luck I've had financially, and that wasn't really luck - just good research on my part here on AAM & off I went and switched. There used to be a first time buyers grant - I didn't get that as i bought just a little after it was discontinued.
Then they introduced it that first time buyers didn't have to pay stamp duty on 2nd hand purchases - after I'd bought mine so I didn't catch that break either....
I live in a smaller place than I'd like, but I didn't over-borrow to get it. I've been able to maintain my payments despite 3 paycuts totalling 30%. It's been tough but even when the banks weren't bothering I did my own stress-testing. I don't think it's fair that I be punished being careful with my money when the banks and the Government weren't.
 
Topic Reminder: Will trackers be taxed at the next budget?

Personally I cant see how this could be done in a practical sense.

Would people on bad trackers (ECB + >1.25% say) be taxed more than people on better trackers (ECB + <1.00% say).

I would be inclined to file the suggestion under "Urban Myth".
 
Joe Q Public said:
Easy solution is to remove TRS from trackers.
Click to expand...
Again, somewhat ignores the issue of equity of taxation and also the practicalties of how TRS works - TRS is of more benefit to you the greater the amount of mortgage interest you pay. If you stop all Trackers being elgiable for TFS this would have the greatest impact on those with the worst Tracker deal. Those with the best Tracker would see very little impact.

Urban myth.
 
Equity of taxation eh? Pull the other one. The tax system is far from equitable.
 
I'm not really sure what you want me to say. You're ignoring the impracticalites involved.

Are you just ranting and raving or do you have any real basis for what you're saying?
 
They can stop TRS at the stroke of a pen it they want. If they do it at all is a matter of debate. Even if it happens people with trackers will have to suck it up as equity of taxation will not be a bar to it happening.
 
Howitzer said:
Again, somewhat ignores the issue of equity of taxation and also the practicalties of how TRS works - TRS is of more benefit to you the greater the amount of mortgage interest you pay. If you stop all Trackers being elgiable for TFS this would have the greatest impact on those with the worst Tracker deal. Those with the best Tracker would see very little impact.

Urban myth.
Click to expand...

+ 1

Good point Howitzer!

As I have said before on this thread, I'm not sure how realistic or profitable this would be for the Government as most tracker customers are no longer eligible for TRS anyway, since they secured their mortgage over 7 years ago.

If the abolishment of TRS relief for tracker customers is to be introduced, it would only be people who took out a tracker mortgage over the last 7 years who would be penalised. Surely this in itself would be inequitable, as recent mortgage borrowers have more money to pay back, yet they would be the ones being punished?
 
Inequitable or not, there would not be lot you would be able to do about it.
 
If they pull the plug on the TRS, surely there is a lot of people who would not be able to keep up their payments. Would this not cost the government more in the long run?
 
You must log in or register to reply here.
Back
Top