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Non-Resident Investment Loan

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Hello Tax Enthusiasts. Thank you in advance for your assistance!

 

I am an Aussie expat and non-resident for Australian tax purposes. I have a fully paid investment property in Australia earning rent which I pay tax on each year at the non-resident tax rate.

 

I would like to mortgage my investment property (overseas USD bank loan) and invest into a fund. As a non-resident, can I deduct the loan interest from my Australian tax bill? I understand the investment would need to be "accessible income" so I expect I just need to report any income or capital gains from the relevant investment to deduct the interest?

 

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Community Moderator

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Hi @NonResident,

 

If you are making an investment then yes you can claim the interest, against that investment. You would not be able to claim the interest against your rental income.

 

KylieS

 

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Most helpful response

Community Moderator

Replies 0

Hi @NonResident,

 

If you are making an investment then yes you can claim the interest, against that investment. You would not be able to claim the interest against your rental income.

 

KylieS