{"id":2078386,"date":"2023-10-24T20:24:04","date_gmt":"2023-10-25T00:24:04","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/how-to-get-more-tax-deductions-for-homeowners\/"},"modified":"2023-10-24T20:29:28","modified_gmt":"2023-10-25T00:29:28","slug":"how-to-get-more-tax-deductions-for-homeowners","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/how-to-get-more-tax-deductions-for-homeowners\/","title":{"rendered":"How to Get More Tax Deductions for Homeowners"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">16<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fhow-to-get-more-tax-deductions-for-homeowners%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2078386&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div data-post-content=\"true\" class=\"post_content\" id=\"post_content\">\n<div class=\"my-5\">\n<p>As\u2064 a \u2062homeowner, you have the opportunity to take advantage \u2062of numerous tax deductions that can help you save money. The Internal Revenue Service \u200b(IRS) offers various \u200dways to reduce your tax bill each year, so it&#8217;s worth exploring these deductions and \u200bclaiming\u200c them. Here\u2064 are some key deductions that\u200b can keep more money in your pocket.<\/p>\n<h2><b>The Mortgage Interest Deduction<\/b><\/h2>\n<p>The\u2063 tax deduction\u2064 for mortgage interest on your primary residence may have decreased, but you can still deduct the \u2064interest on the first $750,000 if you&#8217;re married filing jointly or $375,000 if \u200dmarried but filing separately. If you had mortgage interest\u2063 before\u200d Dec. 16, 2017,\u200d you can \u2063deduct the interest on \u200dthe first $1 million.<\/p>\n<\/p><\/div>\n<div class=\"my-5\">\n<p>If you&#8217;ve refinanced your mortgage, you may be eligible for a tax deduction, depending on the\u2063 original loan date. If you took out the loan before Oct.\u2064 14, 1987, you might be\u2064 able to deduct all of the interest.<\/p>\n<h2><b>Interest on\u200b Home Equity Loans<\/b><\/h2>\n<p>When\u2062 you use money from a \u2064home equity loan or line \u2064of credit to improve your home, \u2063you can deduct the interest. However, if the money is used for other purposes, it cannot be deducted. Keep in mind that \u200dthis\u2064 loan amount\u200b counts towards your mortgage debt, so exceeding the limit\u200b may disqualify you from \u2062the \u200bdeduction.<\/p>\n<h2><b>Mortgage\u2063 Points<\/b><\/h2>\n<p>The \u2062cost of buying points on a mortgage may also be tax deductible. This cost is added to \u200dyour mortgage interest. If you\u2064 <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/time-to-bud-light-best-buy-best-buy-faces-blowback-for-leadership-training-program-that-excludes-white-applicants\/\" title=\"'Best Buy's Bias Training Sparks Controversy: Excludes White Applicants'\">meet specific qualifications<\/a>, you \u200dmay be\u200b able to deduct the entire amount in\u2064 a single\u2062 year.<\/p>\n<\/p><\/div>\n<div class=\"my-5\">\n<p>Most of the time, the interest must\u200b be deducted throughout your loan, especially when purchasing a \u2062second home. To\u200b claim this\u200b deduction, you must itemize \u2062your deductions.<\/p>\n<\/p><\/div>\n<div class=\"shortcode\">\n<div class=\"border-comp-divider mb-4 mr-4 w-full max-w-[500px] border px-5 py-4 text-[16px] leading-[20px] text-[#262626] md:float-left\" id=\"in_article_related_stories\">\n<h2 class=\"mb-3 font-sans text-[16px] font-semibold uppercase leading-[19px] text-[#2F2F2F]\">Related Stories<\/h2>\n<div class=\"mb-4 flex gap-2\">\n<div class=\"grow\">\n<div class=\"mb-1 line-clamp-4 sm:line-clamp-3\">\n            <a href=\"http:\/\/www.theepochtimes.com\/world\/homeowners-brace-for-mortgage-payment-shock-amid-higher-for-longer-rate-outlook-5502146?ea_src=author_manual&#038;ea_med=related_stories\"><\/p>\n<h3 class=\"text-sm sm:text-base\">Homeowners Brace for Mortgage \u200bPayment Shock Amid Higher for Longer\u2062 Rate Outlook<\/h3>\n<p>            <\/a>\n          <\/div>\n<div class=\"text-comp-caption text-[14px] leading-[18px]\">10\/2\/2023<\/div>\n<\/p><\/div>\n<div class=\"shrink-0 basis-[70px] sm:basis-[120px]\">\n          <a href=\"http:\/\/www.theepochtimes.com\/world\/homeowners-brace-for-mortgage-payment-shock-amid-higher-for-longer-rate-outlook-5502146?ea_src=author_manual&#038;ea_med=related_stories\">\n            <picture><source type=\"image\/webp\" https:><\/source><source type=\"image\/*\" https:><\/source>\n            <\/picture>\n          <\/a>\n        <\/div>\n<\/p><\/div>\n<div class=\"mb-4 flex gap-2\">\n<div class=\"grow\">\n<div class=\"mb-1 line-clamp-4 sm:line-clamp-3\">\n            <a href=\"http:\/\/www.theepochtimes.com\/bright\/the-eight-most-overlooked-tax-deductions-for-homeowners-4691424?ea_src=author_manual&#038;ea_med=related_stories\"><\/p>\n<h3 class=\"text-sm sm:text-base\">The Eight\u2062 Most Overlooked Tax Deductions\u2062 for Homeowners<\/h3>\n<p>            <\/a>\n          <\/div>\n<div class=\"text-comp-caption text-[14px] leading-[18px]\">8\/27\/2022<\/div>\n<\/p><\/div>\n<div class=\"shrink-0 basis-[70px] sm:basis-[120px]\">\n          <a href=\"http:\/\/www.theepochtimes.com\/bright\/the-eight-most-overlooked-tax-deductions-for-homeowners-4691424?ea_src=author_manual&#038;ea_med=related_stories\">\n            <picture><source type=\"image\/webp\" https:><\/source><source type=\"image\/*\" https:><\/source>\n            <\/picture>\n          <\/a>\n        <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div class=\"my-5\">\n<p>If the seller paid for points on \u200dyour behalf, you can also claim a tax deduction for them.<\/p>\n<h2><b>Property\u200b Taxes<\/b><\/h2>\n<p>You may be able to deduct the annual property tax \u2063bill up to $10,000 for \u200cincome, property, and sales taxes ($5,000 if married and filing separately). However, this deduction requires itemizing on Schedule A, and \u200donly amounts above the\u200b standard deduction are eligible. Note that\u2064 it does not include homeowners association\u2064 fees, utility service \u200ccharges,\u200b or transfer\u2063 taxes.<\/p>\n<h2><b>Private Mortgage Insurance<\/b><\/h2>\n<p>If your \u2064income is limited to $100,000 (married or single) or \u2064$50,000 if married but filing separately, paying private mortgage insurance can provide a \u200btax break. The deduction\u2064 phases out as your income reaches $109,000 ($54,500 if married and filing separately), and it becomes unavailable once your adjusted gross income (AGI) \u2062exceeds that amount. Keep an eye on potential changes to this deduction in the \u200bfuture, as it may expire.<\/p>\n<\/p><\/div>\n<div class=\"my-5\">\n<p>You can also deduct fees from other government agencies, including:<\/p>\n<ul>\n<li><b>Veterans Affairs (VA) loan funding fee<\/b><\/li>\n<li><b>United States Department of Agriculture (USDA) loan guarantee fee<\/b><\/li>\n<li><b>Federal Housing Administration (FHA) loan up-front mortgage insurance premiums<\/b><\/li>\n<\/ul>\n<h2><b>Residential Energy \u2064Credits<\/b><\/h2>\n<p>By installing alternative energy equipment in your home, such \u200bas solar panels or geothermal heat pumps, you \u200bmay qualify for a residential energy credit. \u200bThese credits are often available, but eligibility depends on\u2064 the purchase date and equipment type. Note that these credits \u2064may not be available after 2023.<\/p>\n<h2><b>Expenses for a Home Office<\/b><\/h2>\n<p>If you have a home business,\u2064 you can benefit from various\u2063 tax\u2062 deductions. When claiming the home office deduction, the space must be used exclusively for\u2063 business \u200dpurposes.\u2064 Keep detailed records \u2064and\u200b deduct expenses such\u2062 as materials, office equipment, utilities (based \u200bon square footage), cell phones, and more. Additionally, some \u200dhomeowner&#8217;s insurance costs, real estate taxes, mortgage insurance premiums, depreciation, security\u2062 systems, and repairs may\u200b be deductible.<\/p>\n<\/p><\/div>\n<div class=\"my-5\">\n<p>You can also deduct vehicle costs and certain travel expenses \u200crelated to your home business. Other <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/how-to-get-more-tax-deductions-for-homeowners\/\" title=\"How to Get More Tax Deductions for Homeowners\">deductible expenses include advertising costs<\/a>, professional services, business insurance, and interest on business loans.\u200d However, employees who work from\u200b home \u200dcannot claim this deduction.<\/p>\n<h2><b>Capital Gains<\/b><\/h2>\n<p>When selling your\u200d primary home, you may be \u2062able to deduct the\u2064 capital gains from the sale by subtracting the initial cost of the property from the selling price. The IRS allows you to \u200cexclude up to $250,000 from your income if you&#8217;re single or $500,000 if married filing jointly.<\/p>\n<\/p><\/div>\n<div class=\"my-5\">\n<p>To\u200d qualify for the capital gains exclusion, you must have lived in the home for at least two years out of the \u200dfive years preceding the sale. If you claimed\u2062 the exclusion on the sale of another home\u200b within two years before this sale, you are\u200d not eligible to \u200bclaim it.<\/p>\n<h2><b>The 2023 Standard Deduction<\/b><\/h2>\n<p>Many of\u200d these tax breaks require expenses that exceed the \u200dstandard deduction. In 2023, the \u200bstandard deduction is $13,850 for single\u2062 filers,\u200d $27,700 \u2063for <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/how-the-democrats-new-tax-hike-will-impact-your-wallet\/\" title=\"How The Democrats\u2019 New Tax Hike Will Impact Your Wallet\">married couples filing jointly<\/a>, and $20,800 for heads of household. You \u2062can only deduct amounts that exceed these limits.<\/p>\n<h2><b>Some Things You Cannot Deduct<\/b><\/h2>\n<p>While there are numerous tax breaks available, certain expenses \u2062do not qualify for deductions. According to \u2064RocketMortgage, you \u2064cannot deduct the down payment, principal amount of the mortgage\u200c payment, fire insurance, homeowner&#8217;s insurance premium,\u200c depreciation, utility costs, home improvements (except for medical necessity), or domestic \u200bservice.<\/p>\n<p>Remember, this article only covers a few of the potential tax breaks for \u200bhomeowners. To explore all available deductions and stay updated on the latest tax information\u2064 and changes, it&#8217;s best to consult a tax agent.<\/p>\n<\/p><\/div>\n<div class=\"my-5\">\n    <i>The Epoch Times copyright \u00a9 2023.<br \/>\n    \u200dThe views \u200band opinions expressed are those of \u200dthe authors. They are meant \u2062for general informational purposes only and should not be construed or interpreted as\u2062 a recommendation\u200c or \u200dsolicitation. The Epoch Times does not provide investment, tax, legal, financial planning, estate planning, \u2063or any other personal finance advice. The Epoch Times holds no\u2063 liability for the accuracy or \u2062timeliness of the information provided.<\/i>\n  <\/div>\n<\/div>\n<p> <\/p>\n<h2> What are the eligibility requirements for deducting the \u200cinterest on home equity loans?<\/h2>\n<p><span>  Tax deductions can be a valuable tool for\u2064 homeowners to save money. The Internal Revenue Service (IRS) offers various deductions that can help reduce your tax\u2064 bill each year. It is\u2063 important to explore these\u2062 deductions and take advantage\u200c of them\u2064 in order to keep more money\u200c in \u2064your pocket.<\/p>\n<p>One key deduction is the \u200cmortgage interest deduction. While the tax\u2063 deduction for\u2063 mortgage interest on \u2063your primary residence may have decreased, you can still deduct the interest on the first \u200d$750,000 if you&#8217;re married filing jointly or $375,000\u200d if married but filing separately. If you had mortgage interest\u200d before December 16, 2017, you can deduct \u2062the interest on the first $1 million.<\/p>\n<p>If you have refinanced your mortgage, you may be \u200celigible for a tax deduction depending on the original loan date. If you took out the loan before October 14, 1987, you might be able to deduct all of the \u2064interest.<\/p>\n<p>Another deduction to consider is the interest on home equity \u200dloans. When you use money from a home equity loan or line of \u200ccredit to improve your home, you \u2064can deduct the \u200cinterest. However, if\u2063 the money is used for other purposes, \u200dit cannot be deducted. It is important \u200bto keep in mind that this loan amount counts towards your mortgage debt,\u2064 so exceeding the\u2063 limit may\u200d disqualify you from\u200c the deduction.<\/p>\n<p>Additionally, the cost of\u200d buying points on a mortgage may\u2062 be tax deductible. \u200bThis cost is added to your \u2062mortgage interest. If you meet\u2062 specific qualifications, you may\u2064 be able to deduct the entire amount in a single year.<\/p>\n<p>In most cases, the interest\u2062 must be deducted throughout your loan, especially when \u2062purchasing a second home. To\u200b claim this deduction, you must itemize your deductions.<\/p>\n<p>In conclusion,\u2063 as a\u200d homeowner, it is important \u2064to be aware \u2062of the tax deductions \u200cavailable\u2064 to you. By taking advantage of these\u2063 deductions, you can save money and \u200bkeep more of your hard-earned income.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Homeowners can take advantage of many tax deductions that are available to them. The Internal Revenue Service (IRS) gives a lot of ways to reduce your tax bill each year, making it worthwhile to learn about them and claim those tax deductions. Here are some to help you keep more money in your pocket. The<\/p>\n","protected":false},"author":2364,"featured_media":2078387,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[543],"tags":[],"class_list":["post-2078386","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-epoch-times"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2078386","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2364"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2078386"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2078386\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2078387"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2078386"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2078386"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2078386"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}