I live in a Condominium, in New York, and I am told that the maintenance charges for the Condominium can be climed as expenses.
Please advise if this is correct.
Thanks.
2007-02-14 03:12:31 · 9 answers · asked by RAJ KUMAR 1 in Business & Finance ➔ Taxes ➔ United States
Condo Fees are not deductible on the Federal Tax return
Publication 936
http://www.irs.gov/publications/p936/index.html
Publication 530
http://www.irs.gov/publications/p530/index.html
2007-02-14 03:20:10 · answer #1 · answered by Anonymous · 1⤊ 1⤋
What they mean is that the dollars that you pay towards mortgage interest won't be taxed by the Federal Government. The IRS allows you to reduce your taxable income (the income you would be paying tax on) by the amount that you pay towards several expenses (real estate taxes, mortgage interest, charitable contributions, state taxes, etc). Your first year's interest on the loan you have indicated will be a bit more than $5,000 - which means that your taxable income will be reduced by that amount. 8% might be high, low, or about right - depending on your personal circumstances. Please do yourself a favor and get a second opinion from a mortgage broker (full disclosure, I am one) so that you can do some comparison shopping. Don't pay an application fee or lock in fee - they should do this for free - it's our job. When done properly, we don't get paid unless and until we help our customers close.
2016-03-29 06:14:05 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Maintenance charges are not tax deductible, if the condominium is your principal residence. If the condo is rental property, then the maintenance charges are deductible as a rental expense.
2007-02-14 04:08:44 · answer #3 · answered by jseah114 6 · 0⤊ 1⤋
Condo maintenance fees are not deductable on federal income tax, unless you are running a business out of the condo, then a portion of them might be.
2007-02-14 08:06:24 · answer #4 · answered by Judy 7 · 0⤊ 0⤋
I don't know about New York state tax law, but you can't deduct HOA or maintenance expenses for a condo on your federal income tax return (only interest and property taxes). It seems plausible though that NYC or NY state would allow that decuction on your state tax return. Check with a CPA or go to the state/city website.
2007-02-14 03:18:35 · answer #5 · answered by lizzgeorge 4 · 0⤊ 2⤋
If you really own part of a coop then your share of real estate taxes are deductible if you itemize on Schedule A. That is all unless you work at home and have an office there.
2007-02-14 03:20:18 · answer #6 · answered by spicertax 5 · 0⤊ 2⤋
No, those charges are not deductible. Only mortgage interest and property taxes are deductible.
2007-02-14 03:19:36 · answer #7 · answered by Bostonian In MO 7 · 0⤊ 1⤋
ask your tax advisor
2007-02-14 03:17:19 · answer #8 · answered by Mopar Muscle Gal 7 · 0⤊ 3⤋
NO WAY
2007-02-14 04:15:09 · answer #9 · answered by Ovrtaxed 4 · 0⤊ 1⤋