topic Can I right off down payment money on land I bought? Didn't go through a bank. Went through a lawyer for the transaction and purchase of land in After you file

Can I right off down payment money on land I bought? Didn't go through a bank. Went through a lawyer for the transaction and purchase of land

christinatemolet — Tue, 04 Jun 2019 00:20:26 GMT

Do I need need legal paperwork from seller?

The purchase of land is not an expense; it is an investme...

MichaelMc — Tue, 04 Jun 2019 00:20:28 GMT

The purchase of land is not an expense; it is an investment. Neither the down payment nor any other part of the purchase price would be a tax-deductible expense. These amounts form the tax basis for the property and will determine whether you have a gain or loss when the land is eventually sold.