How/when is LMI written off.

[JohnAJones]

I believe 'loan costs' are written off over 5 years. Is LMI treated this way?

What if the mortgage providor pays for it?

Thanks

 

[Rolf Latham]

Hiya JAJ

Yes, depreciable over 5 years.

If your mortgage provider pasy for the LMI then this will be in the cost of the interest and is therefore indirectly deductible to you.

The expense where the mortgage provider incurs the LMI is "theirs" rather then yours.

ta
rolf

 

[JohnAJones]

Thank you very much.