Loading
This thread is archived and the information may not be up-to-date. You can't reply to this thread.
FMC123(Enthusiast)Enthusiast
26 Sept 2024

As per TR 2023/03 Paragraph 26; "In the context of section 26-102, we do not consider the costs of repairing, renovating or constructing a structure on the land, or any interest or borrowing costs (to the extent they are associated with repairs, renovation or construction), to be a loss or outgoing related to holding land"


This means if I have any interest on construction loan for investment property I can claim the interest as an expense as D15 on the tax return or should I claim as a rental property expense.


Please clarify my understanding on ruling that I am eligible to claim the interest as a tax deductible expense?

201 views
3 replies
201 views
3 replies

Most helpful response

Most helpful reply

Bruce4Tax(Taxicorn)Taxicorn
27 Sept 2024

or should I claim as a rental property expense.


Yes


Please clarify my understanding on ruling that I am eligible to claim the interest as a tax deductible expense?


As it is not clear what your understanding of the ruling is,

best to go to a local tax agent experienced with property.


All replies

Most helpful reply

Bruce4Tax(Taxicorn)Taxicorn
27 Sept 2024

or should I claim as a rental property expense.


Yes


Please clarify my understanding on ruling that I am eligible to claim the interest as a tax deductible expense?


As it is not clear what your understanding of the ruling is,

best to go to a local tax agent experienced with property.


FMC123(Enthusiast)Enthusiast
28 Sept 2024

I will do that. I need to know that as per the ruling the interest paid on construction of investment property is claimable as tax expense even though it is still under construction?

Featured articles

Renting out all or part of your home? What to include in your tax return

15 Apr 2026 · 4 min read time

How to work out your tax residency

15 Apr 2026 · 8 min read time

Top liked users

  1. Taxduck

    (Taxicorn)

    1290 likes

  2. Bruce4Tax

    (Taxicorn)

    1119 likes

  3. YellowPotato

    (Taxicorn)

    342 likes

  4. Ken_Oath

    (Master)

    199 likes

  5. knaresbro

    (Devotee)

    141 likes

Top contributors

  1. Bruce4Tax

    (Taxicorn)

    3400contributions

  2. Taxduck

    (Taxicorn)

    2831contributions

  3. YellowPotato

    (Taxicorn)

    904contributions

  4. knaresbro

    (Devotee)

    295contributions

  5. TobyJDodd

    (Devotee)

    176contributions

Loading
Construction Loan on Investment property | ATO Community