Gosh, I truly hope you had better fortune with the IRS than I did this year.  (And no, I promise not to spend it all in one place… LOL)
- Seriously though, the tax advantages of owning real estate are many— and hidden in the tax code are many opportunities for seriously reducing what you have to pay the gubmint.  However, as in all things that have to do with gubmint paperwork, the devil is in the details.  Now, you can do yourself a BIG favor though, and take advantage of the IRS publications that discuss (in detail) just what these tax-saving opportunities are all about. Give ’em a read (they’re free btw) and you may just be surprised at some of the items you might be able to take advantage of— and reduce the amount of money you have to give to the IRS!
Here’s a partial list that you can scope out at www.IRS.gov…
Publication Number
- 504Â Divorced or separated individuals
- 527 Residential rental property
- 530Â Tax information for homeowners
- 537Â Installment sales
- 544Â Sales and other dispositions of assets
- 547Â Casualties, disasters, and thefts
- 551Â Basis of assets
- 587Â Business use of your home
- 936Â Home mortgage interest deduction
- 4681Â Cancelled debts, foreclosures, repossessions, and abandonments
Forms and Instuctions
- Schedule A Itemized Deductions
- Schedule D Capital Gains
- 982 Reduction of tax attributes due to discharge of indebtedness
- 4797 Sale of business property
- 5405 Repayment of first time homebuyer credit
- 6252 Installment sale income
- 8828 Recapture of federal mortgage subsidy
- 8949 Sales and other dispositions of capital assets
Invest a few minutes with a couple of these pamphlets and you just might not have to pay some of your hard earned money to the IRS. Good luck!
