Last time I bought IP I paid the 10% Deposit on Auction Day from my own saving (transfer from existing loan offset account). Also I paid stamp duty before settlement. I arrange with my bank to lend me the total cost of the purchase (i.e. purchase amount + stamp duty + all transfer fees + solicitor fees etc = $445 k). I arrange with my bank to be paid back to me as one of the settlement cheques (10% deposit and stamp duty). On the day of the settlement my loan started as $445 k. After 1-2 day I transferred the 10% deposit and stamp duty (paid to me during settlement) to the new loan offset account. I am intending to claim full 100% deductibility on the full cost of $445k I am confused after reading the following thread on this web site: http://www.invested.com.au/4/100-tax-deductabilty-existing-lender-taking-37759/ Is this OK in the eye of the ATO? Or should I follow different approach to keep the 100% tax deductibility including the early payment of (10% deposit and stamp duty).