New Interest Deductibility Rules / Changes to the Bright-Line Test
The new interest deductibility rules apply from 1 October 2021. For some property investors, this means that interest deductions will be phased out from 1 October 2021 to 31 March 2025. For other property investors, interest will cease to be deductible from 1 October 2021.
The new 10-year bright-line test applies to residential property (other than “new builds”) acquired from 27 March 2021. The proposed definition of a “new build”, along with other changes to the bright-line test, have been included in a Supplementary Order Paper to the latest Tax Bill.
This webinar considers the ambit of the new interest deductibility rules, including who is affected by the new rules, what type of property the new rules apply to, and when the “new build” exemption applies. Proposed changes to the bright-line test will also be considered, including proposed rollover relief for related party transfers and amendments to the new main home exclusion.
Accountants of all levels, property lawyers, real estate agents, mortgage brokers, financiers and others who advise on residential property transactions.
Stephen Tomlinson, Principal, Tomlinson Law
Duncan Terris, Director, Terris Legal Limited
1.5 CPD Hours