Australian Taxation Office provide solution in claiming rental properties borrowing expenses as income tax deduction while taking loan to purchase a rental property. With this claiming borrowing service, a person can claim stamp duty charged on the mortgage, title search fees charged by the lender, mortgage broker fees, loan establishment fees, fees for a valuation required for loan approval, and lender’s mortgage insurance. This lender’s mortgage will be taken out by the lender and later billed to customer.
While taking rental borrowing expenses, customers can not claim for stamp duty charged by their state or territory government on the transfer of the property title. By borrowing expenses on the loan, customers can not use it for their private purposes. In case, if the total deductible expenses are more than hundred dollars, this deduction claimed by customers must be spread over five years.
Australian Taxation Office recommends in keeping a track in their claiming process, regardless of their tax agent in preparing their tax. Customers can visit the official website of Australian Taxation Office for detailed information explained with calculations related to deductible expenses.