Deductible or not. or is it depending on my tax gap?
2007-09-25 10:53:57 · 5 answers · asked by rk 2 in Business & Finance ➔ Personal Finance
Canada only please. Also, I know i can get help from accountant or tax advisor but, I wondered if I can get the answers from here.
2007-09-26 18:01:34 · update #1
The general rule is that any loan secured by your primary residence is deductible, no matter how the money is used. There are exceptions if the total of you primary mortgage and HELOC are more than a certain amount ($1 million if I remember correctly). ALL deductions are phased out if your income is over $150K or so. As others have suggested, this is a good question for an accountant that can look at your full tax situation.
2007-09-25 12:57:32 · answer #1 · answered by STEVEN F 7 · 0⤊ 0⤋
If the HELOC liability is against your primary residence then , I believe , it is deductible .
If against something else , it would just be part of the itemized business expenses .
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2007-09-25 11:06:26 · answer #2 · answered by kate 7 · 0⤊ 0⤋
Agreed a tax pro is the way to go. Here is the IRS.gov link to the part about home debt. http://www.irs.gov/publications/p936/ar02.html#d0e2092
2007-09-25 11:04:33 · answer #3 · answered by John 1 · 0⤊ 0⤋
I would speak to your accountant on that issue, mine was not, but i used mine to purchase a home that i live in,might be different than your situation.
2007-09-25 11:00:16 · answer #4 · answered by KATRINA 2 · 0⤊ 0⤋
yep contact your tax specialist. No yahoo people should answer that for you.
2007-09-25 11:01:40 · answer #5 · answered by icedcoffeeaddict 2 · 0⤊ 0⤋