If you’re considering investing in property, the topic of negative gearing may have crossed your mind already. It can be worthwhile taking the time to research different property investment strategies and consider what balance between negative and positive gearing might be best for you. Check out our explainer to find out what negative gearing is and how it works. | Suncorp
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NEGATIVE GEARING. EXPLAINED. Negative gearing happens when the costs of owning an investment, like a property, are higher than the income it earns. For example, if you receive $40k in rent but pay $50k in interest and running costs, you’ve made a 10k loss. If you’re a higher income earner, that loss becomes valuable. You can claim it against your taxable income, which reduces the amount of tax you pay. Someone on the highest marginal tax rate gets a bigger benefit because every dollar of loss re
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