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Tax Deductability of Interest on Investment Property

Discussion in 'Real Estate' started by archangelsupreme, 14th Sep, 2008.

  1. archangelsupreme

    archangelsupreme Well-Known Member

    Joined:
    7th Sep, 2007
    Posts:
    206
    Location:
    Australia
    Hello,

    Just need some clarification on a quick interest deductibility query.

    If I buy a property for investment purposes, but don't couldn't find a tenant until the 2nd month after settlement....will the first month's interest be tax deductible in full because the property was available for rent?...event though i didn't get any rent?

    Thanks.
     
  2. Simon Hampel

    Simon Hampel Co-founder Staff Member

    Joined:
    9th Jun, 2005
    Posts:
    4,619
    Location:
    Sydney, Australia
    Yes, the property just has to be available for rent and you are actively seeking a tenant - then all expenses should be deductible.
     
  3. archangelsupreme

    archangelsupreme Well-Known Member

    Joined:
    7th Sep, 2007
    Posts:
    206
    Location:
    Australia
    Thanks Sim