turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

snale
New Member

STATE BOND LOAN

IF I RECEIVED A STATE BOND LOAN TO HELP WITH A DOWN PAYMENT FOR MY HOME, DO I NEED TO REPORT THAT ANYWHERE?
x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

1 Best answer

Accepted Solutions
ToddL
New Member

STATE BOND LOAN

No, you do not report mortgage down-payment assistance on your tax return. It is not taxable income.

From IRS Publication 525 (2015), Taxable and Nontaxable Income:

Down payment assistance.   If you purchase a home and receive assistance from a nonprofit corporation to make the down payment, that assistance is not included in your income. If the corporation qualifies as a tax-exempt charitable organization, the assistance is treated as a gift and is included in your basis of the house. If the corporation does not qualify, the assistance is treated as a rebate or reduction of the purchase price and is not included in your basis.

View solution in original post

1 Reply
ToddL
New Member

STATE BOND LOAN

No, you do not report mortgage down-payment assistance on your tax return. It is not taxable income.

From IRS Publication 525 (2015), Taxable and Nontaxable Income:

Down payment assistance.   If you purchase a home and receive assistance from a nonprofit corporation to make the down payment, that assistance is not included in your income. If the corporation qualifies as a tax-exempt charitable organization, the assistance is treated as a gift and is included in your basis of the house. If the corporation does not qualify, the assistance is treated as a rebate or reduction of the purchase price and is not included in your basis.

Unlock tailored help options in your account.

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question