Some relief may be on the way for Residential Landlords.
The Irish Tax Institute responds to consultation on the tax and fiscal treatment of landlords
The Department of Finance has just concluded a consultation on the tax and fiscal treatment of landlords.
The Institute highlighted a number of tax issues which could discourage existing landlords from remaining in the residential property market and new investors from entering;
The rules for calculating taxable rental income, particularly the restrictions on the deductibility of loan interest and Local Property Tax, mean that many landlords are faced with very high effective tax rates.
The rates of Capital Gains Tax have increased by over 60% since 2008 to 33%. The introduction of targeted measures such as indexation relief and/or rollover relief might reduce the tax barriers to residential letting.
Read more at ITI submission.