I just recently bought a home 6 months ago, how will i do taxes on the house, what duductions can i file and what form do i fill out? If i do taxes at HR Block will the do housing taxes for me? And do you get a return or do you have to pay? sorry if these sound like dumb questions.
2006-10-24 07:50:54 · 6 answers · asked by Charlie M 1 in Business & Finance ➔ Renting & Real Estate
The Real Estate taxes should be included with your monthly mortgage payments. 1/12 each month. This is also with your homeowners insurance. Your monthly Mortgage payment is made up of PITI (Principal, Interest, Taxes and Insurance). At the end of the year your mortgage company will send you a statement showing your interest and taxes paid. HR Block will know how to handle this on your tax forms. If your bank or mortgage co. also collects your taxes just give them your tax bill and the ins. bill when they come in and the bank will pay them for you. Hope this helps
2006-10-24 08:02:27 · answer #1 · answered by Anonymous · 0⤊ 0⤋
i bought a house one year ago in November. I used a software tax product that walked me through everything. You will have your documents from the mtge company as well as the tax docs they will send you.
now if you are speaking to property tax. the county will tax on the property tax and they will forward to you what you will owe. you can call the county and ask them and they should provide you with the amount you owe. unless you are making the payment along with your regulary house pmt. if not there are some mortgage companies that provide separate accounts for paying your property tax..
property tax is either a semi annual payment lump or you can pay it monthly after you determine what you owe you can divide the number of pmts into the sum and pay this amount.
hope this answers your question..
2006-10-24 08:02:57 · answer #2 · answered by Teresa A 3 · 0⤊ 0⤋
No question is dumb. No body really understands infernal revenue but at least they write down what it is all about so here get the answers directly from them:
IRS publication on Home interest deduction: http://www.irs.gov/publications/p936/ar02.html#d0e1835 and or: http://www.irs.gov/faqs/faq3-6.html
IRS: Tax information when buying a home: http://www.irs.gov/publications/p530/ix01.html
IRS: Deductible costs when purchasing real property:
http://www.irs.gov/publications/p551/ar02.html#d0e2000
IRS: 3.6 Itemized Deductions/Standard Deductions: 6. Real Estate (Taxes, Mortgage Interest, Points, Other Property Expenses): http://www.irs.gov/faqs/faq3-6.html
This provides for great bathroom reading. Happy research
Buena Suerte
2006-10-24 07:57:12 · answer #3 · answered by newmexicorealestateforms 6 · 0⤊ 0⤋
Whoever prepares your income tax should take the real estate taxes and the home mortage interest as deductions. This would be along with state income taxes, charitable contributions etc. Since you would be itemizing deductions you will have to file a form 1040 and attach a schedule A showing your deductions.
2006-10-24 08:19:40 · answer #4 · answered by waggy_33 6 · 0⤊ 0⤋
You will get a statement at the end of the year for the interest that you've paid on your mortgage for that year, I believe it is called a 1098. All you need to do is give that to your tax advisor. Also keep in mind that if you've paid any discount points on your loan, that you may write that entire amount off as well. You can find this out on you HUD-! Settlement Statement in your closing package from your mortgage company.
2006-10-24 07:56:13 · answer #5 · answered by Justin 3 · 0⤊ 0⤋
Your mortgage company should pay your taxes from your escrow account. Usually they a due twice a year, one for county and one for city or town.
2006-10-24 07:54:42 · answer #6 · answered by littleblondemohawk 6 · 0⤊ 0⤋