Equity IP1 for IP2 Reno Tax Implications?

Double checking here:
IP1 under joint name, recently revalued and added new loan on top to access equity (not used yet and won't be ready for another 1-2 weeks until I return documents to bank)

IP2 under my name settling soon, I'll be using saving cash for deposits as equity release was a bit late. Property need Reno for about $10k. Can I use IP1 equity for this Reno and claim deduction? Will it be under my name (as it is for IP2)? Or should I wait to use the equity for next purchase instead?
 
Using cash will cost you dearly over the next 20 years or so in lost tax deductions.

However you could borrow to do a reno on an IP. Interest would be deductible if IP, and reno capital costs depreciated over 40 years - depending on what you reno.
 
Using cash will cost you dearly over the next 20 years or so in lost tax deductions.

However you could borrow to do a reno on an IP. Interest would be deductible if IP, and reno capital costs depreciated over 40 years - depending on what you reno.
Nice, I can use the equiry for upcoming IP2 Reno then :), it was going to be part of deposit for IP 2 but issue with IP 1 access and me changing job delayed the process quite a bit.
 
Back
Top