Owning Property · Koste Knowledge Base
Impact of Interest-Only Loans on Tax Deductions
Quick Answer
Interest-only loans can increase tax deductions as only interest payments are deductible, not principal. Under **Division 40 of ITAA 1997**, interest expenses on investment properties are directly deductible. However, consider long-term financial impacts and consult a tax professional.
interest-only loanstax deductionsinvestment propertycash flowATO regulations
Written by Koste Team · Koste Chartered Quantity Surveyors · AIQS Member · RICS Member · TPB Registered · 1300 669 400 · info@koste.ai