2007-09-08 15:46:30 · 5 answers · asked by olneyone 1 in Business & Finance ➔ Taxes ➔ United States
Sorry, but it's a personal loss because you backed out. It can't be deducted.
2007-09-08 16:15:01 · answer #1 · answered by Anonymous · 0⤊ 0⤋
It would depend on what your purpose of buying the land was in the first place. If you intended to use the land as investment property or in some business venture you would be able to take the loss. If you were intending to use the land for personal use, such as building a home, the answer is NO! In any case you may spend more in tax preparations fees to take the loss than the loss will save you in taxes.
2007-09-09 13:10:46 · answer #2 · answered by ? 6 · 0⤊ 0⤋
No - If your intent was to use the land for personal use (ie. to build your home)
Yes - If your intent was to hold the land as investment property or to build investment property. It would be a capital loss subject to the normal capital loss rules.
2007-09-09 00:34:38 · answer #3 · answered by Wayne Z 7 · 0⤊ 0⤋
Nope. It's a personal loss, due to your own actions, and can't be used as a tax deduction.
2007-09-08 22:58:02 · answer #4 · answered by Judy 7 · 0⤊ 0⤋
this is an accountant question, if it is for a business, i would think so. but i'm no accountant.
i've lost money before on ventures too, like a down payment on a dining room suite, & was not able to count it.
2007-09-08 23:01:36 · answer #5 · answered by AnnaMaria 7 · 0⤊ 1⤋