Using Property As A Pension Fund

Renting is now an accepted part of Ireland’s housing market.
And using your pension fund (if you’re eligible) can be very tax efficient.

Fiona Reddin writing in The Irish Times

“If you buy an apartment through your pension fund for example (and remember this has been built up thanks in part to tax relief on contributions), then all the rent flows directly into the pension fund. It does not pass Revenue and does not result in a tax liability.
Should you sell it at a later stage, any capital gains which might arise are again distributed to the pension fund tax-free. The rent that comes in can be invested back into the equity or bond markets.
It is only once you draw income from your pension fund in retirement that there will be a tax liability.
Outside of the pension fund, if you’re a higher-rate taxpayer, almost half of your rental income can go on tax, while gains are subject to tax at 33 per cent”.

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If you are considering investing in property as a pension fund, call or email Caden Grimes Estates, we may have a property to suit.

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This article is reproduced for information purposes only and does not purport to offer financial advice.
Always talk to your Financial Adviser before making financial investments