Australian Property Investor Magazine --- Page: 12 : June 2007 Original article by Mark Armstrong and Fiona Marsden
ABIX Summary
Many property investors seek to reduce their tax bill for the current income year by prepaying their loan interest for the next financial year. They can then claim this payment as a tax deduction for the current tax year. However, all this strategy achieves in most instances is just to delay tax payment for a further year, unless it is something that the property investor intends to do year after year. It is a strategy that is really only recommended for those investors whose income is not very regular.
