How do you people in the US deduct your mortgage interest, and why can`t this be done in Canada?
2007-11-27 11:23:52 · 6 answers · asked by I tell it like it is 5 in Business & Finance ➔ Renting & Real Estate
At the beggining of the year around January all of your W-2's, 1099's, etc. mortgage interest paid on the home, all of this will start coming in. It is when you have everything and are ready to file your State and Federal Income Taxes, is where you deduct it from your income to determine your AGI...Adjusted Gross Income that you have to pay taxes on. There is a place for all of that, keep all your documents in a folder as they come in the mail, so you are better prepared.
If you don't know how to file your own taxes, it's worth someone to do them for you or you may miss a lot of lega deductions will lower the amount you owe taxes on or will get a refund back on.
As far as Canada, contact a CPA for your answer there.
2007-11-27 11:50:40 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Yes, mortgage interest is deductible from income here in the US, under certain conditions. Have no idea why this is not the case in Canada; take it up with your local representative. D
2007-11-27 11:28:45 · answer #2 · answered by HeavyD 3 · 1⤊ 0⤋
It is deducted on the income tax as long as you are itemizing deductions. Why not in Canada? Because they apparently chose not to put that in the tax code laws. Talk with your government representatives.
2007-11-27 11:30:02 · answer #3 · answered by Angie 6 · 1⤊ 0⤋
the American Congress, in another amazing show of vote buying, realized that over 65% of American voters own their homes and threw them a bone.
alternate explanation: Congress thinks it desirable to promote home ownership [in 1930 fewer than 30% of families owned their home] and warped the tax mechanism to their desires.
[naturally, either explanation leads to the realization that the deduction -- if you itemize only -- has pushed up housing prices and thus increased suburban sprawl and reduced Americans' real well-being.]
2007-11-27 11:33:43 · answer #4 · answered by Spock (rhp) 7 · 0⤊ 0⤋
in case you're pertaining to Canadian tax, no. In Canada capital valuable factors on your familiar place of residing are exempt from tax, yet no longer loan pastime. this promises Canadians the inducement to get their loan paid off asap except they're renting the abode to somebody else.
2016-11-12 22:33:39 · answer #5 · answered by hohl 4 · 0⤊ 0⤋
Yes it is detectable in the US. I have no clue as to why it wouldn't be in Canada. You can save 1000's a year this way.
2007-11-28 00:13:41 · answer #6 · answered by Classy Granny 7 · 0⤊ 0⤋