due to illness,i havnt been able to work,so he has been doing the motgage payments etc..so this year he is able to use my property for his taxes,but i was told that i need to put him in title? is that true.im not sure i want to do that,but I would like him to share 1/2 of taxes,any suggestions.and thank u
2007-06-01 07:30:31 · 6 answers · asked by Jessica 1 in Business & Finance ➔ Renting & Real Estate
I don't think you can do it - but better check with an accountant/CPA...
2007-06-01 07:34:29 · answer #1 · answered by Donald C 2 · 0⤊ 0⤋
If he's not on the deed, he can't take a deduction for the mortgage interest unless you assign the mortgage to him.
If he's got a head on his shoulders, he won't take an assignment of the mortgage unless he is on the deed. If you put him on the deed without spelling out exactly what his ownership interest is, he will have a 50% interest in the property.
I NEVER go into an investment on a 50/50 basis. In your case, if you need to do something with the property and can't agree on what to do, you can't do anything.
You should talk to an attorney about this issue, and your partner should talk to a tax attorney or a tax accountant.
2007-06-01 14:40:42 · answer #2 · answered by SCOTT M 7 · 0⤊ 0⤋
If he is your business partner and you are talking about a property you own for the business then perhaps it would count as a business deduction. If it is your personal residence, and by partner you mean someone other than a spouse then I am not sure he could take a deduction. But either way you should probably talk to a tax accountant.
2007-06-01 14:43:31 · answer #3 · answered by Michael Iarrobino 2 · 0⤊ 0⤋
No. From what you have stated, NEITHER of you may take any deduction for either the mortgage interest or the property taxes.
To take a deduction for mortgage interest you must be legally obligated for the payments and actually make the payments. If your partner's name is not on the mortgage, he is not legally obligated for the payments and therefore cannot take the deduction. And if you did not pay the payments, you cannot take it either.
To take a deduction for property taxes paid you must be legally obligated to pay the tax and must actually pay it. If your partner's name is not on the deed, he is not legally obligated for the tax payments and therefore cannot take the deduction. Again, if you did not pay the taxes, you cannot take the deduction either.
2007-06-01 14:39:25 · answer #4 · answered by Bostonian In MO 7 · 0⤊ 0⤋
Jessica, in any partner-type relationship (unmarried,m2m or w2w) or in any owner relationship,the tax benefit normally only applies to legal owners. If your partner is not a legal owner/part owner of the property in question, he cannot take advantage of tax writeoffs/deductions. My advice: consult a lawyer and see what tax relationship is required and/or you are comfortable with.
2007-06-01 14:39:16 · answer #5 · answered by talldude 3 · 0⤊ 0⤋
if you didnt work and arnt filing taxes.. have him claim you as a dependant that way he can use your intrest payments you made on his schedule A... as long as he (she) you didnt say .. supported you more then 50% of your living expenses they can claim you
2007-06-01 14:39:23 · answer #6 · answered by ToYsTeMpTer 4 · 0⤊ 1⤋