I am informed by the Revenue Commissioners that interest relief is available to an individual or company borrowing money where that money is employed in the purchase, improvement or repair of a property which is let for residential purposes. The relief cannot be claimed until the property is let. The interest paid is treated as an expense deductible from the rental income arising from the property. Where the amount of interest paid in respect of a property exceeds the rental income received from the property, giving rise to a net rental loss for the property for a particular year, that loss can be set against any other Irish rental income which the person may have in that year. Any remaining loss can be carried forward and set against Irish rental income arising in subsequent years until such time as it is used up. It cannot be set against foreign rental income or against other income such as income from a trade or profession.
I am also informed by the Revenue Commissioners that figures on loan interest in respect of borrowings employed for the purchase, improvement or repair of rented residential properties are not separately identified in tax statistics and it is not, therefore, possible to provide the information requested by the Deputy either in relation to the overall amount of relief granted or the other breakdowns sought.