Follow @PoliticsIE
 
 
 
Page 1 of 3 123 LastLast
Results 1 to 10 of 26

Thread: How to not pay any tax, all in one simple lesson.

  1. #1
    Moderator
    Join Date
    Oct 2008
    Posts
    17,119
    Mentioned
    0 Post(s)

    Default How to not pay any tax, all in one simple lesson.

    As the evenings draw in and minds turn to taking up self impovement classes here is something that may pay real dividends. David Clerkin of the Sunday Business Post has a lovely heartwarming story of how property developers can legitimately set off interest they do not pay against otherwise taxable income so that they do not pay any tax at all at all. Here is the key point:

    A Revenue spokesman confirmed that it was possible for a borrower to claim an interest deduction even if the loan was not being repaid.

    Developers know about this but why should developers have all the fun?

    Property developers with Nama-bound loans are enjoying multimillion-euro benefits by exploiting a loophole that allows them to claim tax deductions on interest payments even if they are not making the payments to their banks.

    Nama developers exploit loophole to avoid millions in tax | The Post

    The Sunday Business Post has established that the Revenue is examining the practice of developers claiming tax deductions on interest charged on their loans.

    Officials are believed to be concerned that borrowers who are not making repayments to their banks may still be claiming tax deductions on their interest bills and using them to shelter other income from tax.

    Some developers - who also have extensive commercial property investment portfolios that include office blocks or shopping centres - are believed to be retaining significant amounts of rent coming in from tenants.

    They are refusing to pass on the money to their banks, using it to fund lifestyle spending instead. By claiming a tax deduction on the interest bill - even if that bill is not being paid - the developers in question can avoid paying tax on this rental income.

    A Revenue spokesman confirmed that it was possible for a borrower to claim an interest deduction even if the loan was not being repaid.


    That is a helpful spokesman isn't it? Now what are you waiting for? Such entrepreneurial spirit is what the country is told to admire, and imitation is the best form of flattery.
    Last edited by He3; 27th October 2010 at 04:55 PM.
    "It is difficult to get a man to understand something when his salary depends upon his not understanding it." - Upton Sinclair.

  2. #2

    Default

    How does the ordinary PAYE worker take advantage of this loophole which is only there for the rich??????????
    Politics Mods.....where were you when the mink were released?

  3. #3
    Moderator
    Join Date
    Oct 2008
    Posts
    17,119
    Mentioned
    0 Post(s)

    Default

    Quote Originally Posted by tomybhoy View Post
    How does the ordinary PAYE worker take advantage of this loophole which is only there for the rich??????????
    You learn fast.
    "It is difficult to get a man to understand something when his salary depends upon his not understanding it." - Upton Sinclair.

  4. #4
    Politics.ie Member
    Join Date
    Sep 2009
    Posts
    854
    Mentioned
    0 Post(s)

    Default

    Yeah, and on top of this, the loan interest is granted at 100% whereby the little investor who invested in residential, their interest relief is capped at 75%. And some of these commercial building are rented back to the state.

  5. #5

    Default

    For a minute I thought I might be able to reduce my tax bill to give my kids all that I have worked for but alas it looks like my money will be going to the crooks and gamblers that got this Country into this position.............I didnt have a second home and we only once had a new car 11 years ago but I am going to pay for the people who gambled on the property market which was ludicrious.........ah shur, at least the politicians that helped screw the Country with their friends will be alright.....every cloud has a silver lining I suppose.
    Politics Mods.....where were you when the mink were released?

  6. #6
    Moderator
    Join Date
    Oct 2008
    Posts
    17,119
    Mentioned
    0 Post(s)

    Cool

    Quote Originally Posted by Barnacle View Post
    Yeah, and on top of this, the loan interest is granted at 100% whereby the little investor who invested in residential, their interest relief is capped at 75%. And some of these commercial building are rented back to the state.

    Odd that.
    "It is difficult to get a man to understand something when his salary depends upon his not understanding it." - Upton Sinclair.

  7. #7
    Politics.ie Member
    Join Date
    Sep 2009
    Posts
    854
    Mentioned
    0 Post(s)

    Default

    Quote Originally Posted by He3 View Post
    Odd that.

  8. #8
    Moderator
    Join Date
    Oct 2008
    Posts
    17,119
    Mentioned
    0 Post(s)

    Default

    Quote Originally Posted by tomybhoy View Post
    For a minute I thought I might be able to reduce my tax bill to give my kids all that I have worked for but alas it looks like my money will be going to the crooks and gamblers that got this Country into this position.............I didnt have a second home and we only once had a new car 11 years ago but I am going to pay for the people who gambled on the property market which was ludicrious.........ah shur, at least the politicians that helped screw the Country with their friends will be alright.....every cloud has a silver lining I suppose.

    Who gets the cloud and who gets the silver?
    "It is difficult to get a man to understand something when his salary depends upon his not understanding it." - Upton Sinclair.

  9. #9

    Default

    My family have the cloud for the next decade....our great politicians as ever get all the silver to throw about as they deem fit.
    Politics Mods.....where were you when the mink were released?

  10. #10
    Politics.ie Member
    Join Date
    Jun 2010
    Location
    Kildare
    Posts
    1,109
    Mentioned
    0 Post(s)

    Default

    Typical we split a gold mine 50/50. Developers Politicians and Bankers get the Gold and the rest of us get the shaft!

Page 1 of 3 123 LastLast

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •