Dáil Éireann Debate, Tuesday - 4 November 2014
330. Deputy Michael McGrath asked the Minister for Finance if mortgage interest relief will be available to a person who purchased a property as a first-time buyer in 2008 and who subsequently rented out the property but is now residing in the property as their principal private residence; the rate of relief a person in that category may be entitled to; and if he will make a statement on the matter. [41873/14]
View answerSection 244 of the Taxes Consolidated Act 1997 provides for tax relief in respect of interest paid on qualifying loans taken out to purchase, repair or improve a property that is used as a sole or main residence.
The relief, which is due to end in 2017, is available in respect of all qualifying home loans taken out between 1 January 2004 and 31 December 2012.
Persons that purchased their home within this specified date range are entitled to a 30% rate of relief on interest paid up to an interest ceiling of €20,000 if married/widowed and €10,000 if single, for the first seven years. Thereafter, the ceiling reduces for the remaining years to a maximum of €6,000 if married/widowed and €3,000 if single.
Regarding the specific case to which the Deputy refers, Revenue has informed me that the person would initially have been entitled to the relief at the 30% rate with effect from 1 January 2008 through to 31 December 2014. However the entitlement would have been discontinued from the time the person started to rent the property out because it no longer served as his/her sole or main residence.
If the person has now returned to live in the property as his/her sole or main residence, then he/she should reapply for mortgage interest relief via Revenue's online service at www.revenue.ie. If the person has any difficulty in completing the on-line application he/she should contact the TRS Helpline at 1890 463626 for assistance.
