On Federal , can you deduct seller contributions (taxpayers) made to the buyer at the time of closing.?

Question

I looked on IRS.GOV, but can't find it anywhere.

Thanks

Answer 1

You can't deduct them per se. They would be used to adjust your proceeds from the sale. This would change the size of your gain. Unless you had a gain of more than $125,000 ($250,000 if married filing jointly), your gain is probably not taxable anyway.

Answer 2

Seller paid "points" are deductible but not by the seller. The are deductible by the buyer.