ACT party leader David Seymour is shrugging off the fact he has had to backtrack on a coalition commitment.
Interest deductibility for landlords is being restored from next month– but National’s coalition agreement with ACT promised it would be backdated.
Landlords will be able to write off 80 percent of their mortgage interest from 1 April, and 100 percent from April 2025.
The coalition agreement set out a backdated 60 percent deduction in the 2023-24 financial year, meaning landlords would effectively have received a tax refund.
That is no longer the case.
However, Seymour said a backdated 60 percent deduction “would have added more complications”.
It was “probably not worth the amount of benefit it would have given”, he said.
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