RE501 - MIRAS: What is MIRAS and how does it work?: How MIRAS works

1999/2000 and earlier years

ICTA88/S369 (1)

When a loan was in MIRAS the borrower obtained tax relief by deducting an amount equal to the `applicable percentage' (see RE311) from the interest payment made to the lender. The lender then recovered the sum deducted by making a claim to the Inland Revenue.