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You shall be able to claim the interest deduction on the 50K.
The 50K repayment to your home loan account in excess of the required amount is a permanent reduction to this debt.
The repayment allows you to draw funds from the home loan to an agreed limit. These redrawn funds therefore constitute new lending and as such, the purpose or use of these drawings is relevant.
Since your subsequent 50K redraw is for purchasing an investment property (income producing purpose) consequently, the interest payable on 50K shall be deductible. |
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