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LMI tax query

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Ollie | 11 Dec 2013, 02:13 PM Agree 0
I have just refinanced to open a line of credit which is to be exclusively used for property investment. We had to leverage to 90% to get a satisfactory amount, thus incurring LMI. I mistakenly believed the LMI would all be placed on the LOC (tax deductible over 5 years as an investment expense) but a larger portion has been attached to our variable and fixed portions of our refinanced home mortgage.

Do any experts know if the ATO will accept that these 2 portions of LMI on our PPOR are investment related and hence tax deductible? Or is this just the price of doing business in our situation?

Thanks in advance.
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