Will negative cashflow property reduce my taxable income?



I own an investment flat that currently provides a negative cash flow. I am employed and pay quite a bit of tax with very little deductions. Can I offset any amount "lost" on the property against my taxable income and so reduce tax payable to SARS legitimately?

This entry was posted in Tax Q&A and tagged , , , , . Bookmark the permalink.

TaxTim TaxTim says:
12 April 2013 at 12:55

Yes you will be able to claim a loss on this amount against your normal tax, but SARS may only carry this amount over to each year against future profits and most likely will not result in a tax refund. However in a lot of cases a refund does occur if you aren't making losses every year so either way you will have a tax benefit whether it be now or in the future.




Do your Tax Return in 20 minutes or less!

TaxTim will help you:

 Do Your Tax Return Easily
 Avoid penalties
 Maximise your refund

Tim uses your answers to complete your income tax return instantly and professionally, with everything filled in in the right place.

Let Tim submit your tax return direct to SARS in just a few clicks!

Get started

Blog Categories


Ask TaxTim

Got a question you want answered about tax?

Visit our helpdesk →

Get SARS Tax Deadlines in your Inbox
We'll tell you when you need to file, along with tax tips and updates.