(1) A resident individual is entitled to a deduction in respect of any amount paid during the year of income with respect to the following —
(a) subject to subsections (2) and (3L), interest upon money borrowed by him or her and applied for the acquisition or construction of, or improvements to an owner occupied dwelling house; however, the deduction allowable for any year of income in respect of such expenditure must not exceed $18,000.00;
(b) taxes incurred in respect of an owner occupied dwelling house;
(c) insurance premiums on an owner occupied dwelling house;
(d) expenses reasonably incurred in the upkeep and maintenance of an owner occupied dwelling house; however the deduction allowable for any year of income in respect of such expenditure must not exceed $10,000.00; and
(Substituted by Act 1 of 2010)
(lA) Notwithstanding subsection (l)(a), the deduction allowable for first time homeowners with respect to interest upon money borrowed and applied for the acquisition or construction of an owner occupied dwelling house during the period 1 January 2009 to 31 December 31 2010 must not exceed $20,000.00. (Inserted by Act 1 of 2010)
(1B) The maximum deduction allowable on mortgage interest under subsection (l)(a) applies to all eligible homeowners after the period ending 31 December 2010. (Inserted by Act 1 of 2010)
(2) Despite subsection (1), a resident individual who—
(a) subject to paragraph (b), satisfies the Comptroller that he or she has paid any sum to which subsection (1) applies, during the year of income, is entitled to the deduction under subsection (1);
(b) has failed to pay any amount payable to which subsection (1)(b) relates, is not entitled to the deduction to which subsection (1)(a) relates.
(3) Where 2 or more persons are entitled to relief under this section the deduction allowable may be apportioned between them in the manner that appears to the Comptroller to be reasonable.
(4) In this section “an owner occupied” dwelling house means a dwelling house situated in Saint Lucia that is occupied by the owner either alone or together with his or her family, or occupied rent-free by members of his or her family.
(Amended by Acts 9 of 2001 and 2 of 2009)