Hi Guys,
I have an offset account established for my IO loan for my PPR.
I am thinking of withdrawing 50k from an offset account. I believe the extra interest that I would be charged for this transaction should be fully deductible?
I would like to know how such a transaction should be executed to make sure tax office is happy with me claiming the interest.
Option1) Withdraw directly from offset account (say by writing a cheque)
Option2) Split my total PPR loan amount of X into two loans, A and B, so that A is X-50K and B is 50K, then deposit 50K from offset to loan B and then withdraw the 50K and have loan B account empty.
Option3) ?
Thanks,
I have an offset account established for my IO loan for my PPR.
I am thinking of withdrawing 50k from an offset account. I believe the extra interest that I would be charged for this transaction should be fully deductible?
I would like to know how such a transaction should be executed to make sure tax office is happy with me claiming the interest.
Option1) Withdraw directly from offset account (say by writing a cheque)
Option2) Split my total PPR loan amount of X into two loans, A and B, so that A is X-50K and B is 50K, then deposit 50K from offset to loan B and then withdraw the 50K and have loan B account empty.
Option3) ?
Thanks,