Good morning everyone. I hope you had a good weekend and that you have a good Monday. Since it’s Monday, I have a tax article for you today.
Today’s article comes from Your Houston News and it’s all about the seven tax homeowners make. If you are a homeowner, you should take a look at the full article. Below are three of the tax mistakes homeowners make that are taken from this article so you know what the rest of the article contains.
1. Mortgage Interest:
Generally, all the interest paid on your mortgage can be deducted if your home acquisition debt is $1 million or below. Refer to the IRS Publication 936, Page 3, for specifics.
2. Home Office Deduction:
This deduction is complicated. Yet, if you qualify, it can be substantial. A new simplified home office deduction may allow you to deduct $5 per square foot for up to a 300-square-foot office space (up to $1,500 per year). The simplified method can result in a few less deductions, but it allows you to avoid the complicated 43-line IRS form.
3. Refinance Costs:
This is a deduction that varies a lot when you compare one homeowner’s situation to another. Generally, you are allowed to deduct any points you paid to the lender when you refinanced your loan. Don’t forget the tax deduction must be spread out over the entire life of the mortgage loan.
If you own a home, you need to know the things that you can deduct in your taxes from your home expenses. It’s important for you to read this whole article to give you the truth about the deductions and help you to avoid the mistakes that you may be making. The article will give you the information about the deductions and let you know the things that you can deduct.
I hope this article was helpful to you and that you will pass the information on to other people who can use the information. Please come back and read the other posts that I write or subscribe to my blog. This way you don’t have to worry about missing any of my blogs and the great information that they contain. Have a great day!