When we bought a new home we paid money out of pocket for the house and money for the pool, as a downpayment. This money wasn't included in the loans that we took out. Where do I enter this amount in the Turbo Tax programm?
2007-01-05 11:41:00 · 4 answers · asked by regine16r 1 in Business & Finance ➔ Taxes ➔ United States
The items you listed are not tax deductions. They add to the cost basis of your home as do other remodeling and improvements you make throughout the years that you own it. When you sell the home, you deduct the proceeds from the sale from this "adjusted cost" basis to see how much of the profit (if any) is taxable.
2007-01-05 12:12:07 · answer #1 · answered by n2js 2 · 2⤊ 0⤋
As noted above these items are not tax deductions BUT depending on the state you might be able to deduct the sales tax you might have paid on any major improvements such as the pool.
2007-01-05 20:15:17 · answer #2 · answered by zudmelrose 4 · 1⤊ 0⤋
None of those items are deductable so they are not entered anywhere.
Only the interest paid on the mortage, points paid at closing, and property taxes are deductable.
2007-01-05 23:15:02 · answer #3 · answered by Wayne Z 7 · 1⤊ 0⤋
If its a home remodel (I want to say for repairs only) then its an itemized deduction. I really don't know about the pool sorry. I want to say you cant on it.
The sales tax CAN be taken off if it is for medical purposes (rehab) but those are usually done at time of sale
2007-01-05 20:14:50 · answer #4 · answered by Anonymous · 0⤊ 3⤋