Hi,
i am thinking of refinancing the property with LOC drawn, LOC is fully used for IP purposes only. If i refinance this property with another bank, i will be paying off the LOC by setting up another LOC from the new bank with the same property.
Is the interest off the new LOC from the new bank also tax deductible? Am I on the right track?
I think i am now borrowing to pay off the borrowed amount, hence it is still for investment purposes and should still be tax deductible. am i correct?
Many thanks.
Scott
i am thinking of refinancing the property with LOC drawn, LOC is fully used for IP purposes only. If i refinance this property with another bank, i will be paying off the LOC by setting up another LOC from the new bank with the same property.
Is the interest off the new LOC from the new bank also tax deductible? Am I on the right track?
I think i am now borrowing to pay off the borrowed amount, hence it is still for investment purposes and should still be tax deductible. am i correct?
Many thanks.
Scott