mortgage interest tax deduction calculator

MORTGAGE INTEREST TAX DEDUCTION CALCULATOR DOWNLOAD

And what if there is no mortgage or mortgage interest is less than eigenwoningforfait. And in the coming years, the government plans to bring it up to (approximately) 37%. The maximum rate at which you will receive a deduction for 2021 is 43% (in 2022 it will be reduced to 40%). (4.375:100) x 37,10 (tax rate)=1.623 euros - deduction.īut what if it is necessary to apply the tax rate not 37,10%, but 49,50% (that is, your annual income is more than 68.508 euros)? We consider the deduction itself at a tax rate of 37,10% (if your income for the year does not exceed 68.508 euros). This is not a refund, but a reduction in the taxable base.

We use the figures of the conditional example, and for the calculations we need an amount of 6.000 euros, since, we remind you that only the interest paid is deductible.ġ.625 (house tax) - 6.000 (mortgage interest) = - 4.375 euros If you are just going to buy a house, then you can see all the amounts in the mortgage calculation.

MORTGAGE INTEREST TAX DEDUCTION CALCULATOR DOWNLOAD

If the review did not come by mail, then most likely you need to log in to the website of the mortgage organization / bank and download it there. See how much annuity you pay per year you can in the annual review ( annual review ) on a mortgage, which is sent at the beginning of the next year for the previous one. As a rule, it depends on the type of mortgage.

Typically, more interest is paid in the early years of mortgage repayment, and then this amount decreases. Sum annuity non-standard and irregular and may vary from year to year. Only annuity rather than the mortgage debt itself. Therefore, in the amount that you pay to the bank every month, there is a piece annuity and a piece of debt repayment. Since 2013, at least half of your home loan must be repaid annually. Until 2013, it was possible to pay only interest, without repaying the mortgage itself (i.e., the 'body'). We do not need this amount for calculations. And the “body” of the mortgage debt itself, for example, is 8.400 thousand. Mortgage interest (rente) amounted to 6.000 per year. Percent eigenwoningforfait in 2021 was 0,50, and thereforeĪt the same time, you took 300.000 euros in a mortgage. Suppose your house is worth 325.000 (we take exactly the cadastral value - WOZ-waarde, and it may differ from the market one). В 2021 year house cadastral value from 75.000 to 1.100.000 euro, had eigenwoningforfait 0,50% from WOZ-waarde. You can find the WOZ-waarde of your home here. В 2022 eigenwoningforfait houses, whose woz-waarde, for example, from 75.000 to 1.130.000 euros is 0,45% from WOZ-waarde. The tax rate for eigenwoningforfait is set every year. The tax that is paid on this fictitious income depends on WOZ value (cadastral value of housing). This is fictitious income, and it is called eigenwoningforfait. Yes, yes, do not be surprised, from the point of view of the law, owning a house creates income in Box 1. The first thing to consider is the income from your home. Please note that the house that you rent or do not live in/ not registered s, is reflected in the Box 3 annual declaration (see our webinar on Boxing 3 ).

If you have one of these cases, then welcome to us for an individual consultation.įor more information about Boxing 1, see our webinar. For example, you are building a house, or you have a house for sale, or you have changed housing because you are getting a divorce, and you temporarily have two houses per family. The mortgage return relates to a house that you own, are registered and live in (all of these three conditions must be met), in which case this house is reflected in Box 1 in the annual declaration of an individual. We will talk about the standard option - you have one house in the mortgage, and you did not arrange it this year, but at least last year. Such costs may include: mortgage interest and costs associated with obtaining or refinancing a mortgage.

Mortgage return (hypotheekrenteaftrek) - this is a decrease in the tax base due to the costs associated with financing your own house, taken on a mortgage. In 2021, you were taxed at 37,10% if you earned up to 68.508 euros per year and 49,50% if you earned more than 68.508 euros. In 2022, with a salary of up to 69.399 euros, the income tax rate is 37,07%, and if the amount of the annual salary is more than 69.399 euros, then - 49,5%. What goes into the aftertrek will save you the amount of tax you would pay on it. Such deductions are applied, as a rule, when drawing up an annual declaration. Tax deductions - this is what reduces the taxable base itself, that is, reduces the income on which the tax is paid.

To begin with, let's look at what is Tax deductions ( deductions - Literally 'deductible articles').

Mortgage interest tax deduction calculator