Can interest paid for the year on my condo mortgage be deducted? Also, Can property taxes included in my HOA payment for the year be deducted?

KatVan — Wed, 16 Nov 2022 15:48:33 GMT

Re: Can interest paid for the year on my condo mortgage be deducted? Also, Can property taxes included in my HOA payment for the year be deducted?

xmasbaby0 — Wed, 16 Nov 2022 15:59:41 GMT

Is this your first time as a home owner?

HOMEOWNERSHIP DEDUCTIONS

It is very hard for a lot of people to use itemized deductions now that the standard deduction is so much higher. Your home ownership may not have any effect on your tax due or refund, especially if you purchased the house late in the year.

Standard Deduction
Your itemized deductions have to be more than your standard deduction before you will see a change in your tax owed or tax refund. The deductions you enter do not necessarily count “dollar for dollar;” many of them are subject to meeting tough thresholds—medical expenses, for example, must meet a threshold that is pretty hard to reach. The software program uses all the IRS rules that apply to the expenses you enter, and it tells you if you have enough to use your itemized deductions or if using the standard deduction is more advantageous for you. Under the new tax laws, some deductions have been capped—there is a $10,000 limit to the itemized deductions for state, local, property and sales taxes.

2022 STANDARD DEDUCTION AMOUNTS

SINGLE $12,950 (65 or older + $1750)

MARRIED FILING SEPARATELY $12,950 (65 or older + $1750)

MARRIED FILING JOINTLY $25,900 (65 or older + $1400 per spouse)

HEAD OF HOUSEHOLD $19,400 (65 or older +$1750)

Legally Blind + $1750

Home Ownership

There is not a first time home buyers credit on a Federal return. That ended in 2010. If your state has such as credit, you will be able to enter it when you prepare your state return.

Buying a home is not a guarantee of a big refund. Your deductions for homeownership combined with your other deductions (if any) must exceed your standard deduction to change your tax due or refund. If you purchased your home late in the year, you do not even have a full year of home

ownership deductions.

Your closing costs on your new home are not deductible except for prepaid interest, prepaid property tax or loan origination fees. There are no deductions for appraisal, inspections, title searches, settlement fees. etc.

Your down payment is not deductible.

Your homeowners insurance for fire, hazard, flood, etc. is not deductible for your own home.

Home improvements, repairs, maintenance, etc. for your own home are not deductible.

Homeowners Association (HOA) fees for your own home are not deductible.

Go to Federal> Deductions and Credits> Your Home to enter mortgage interest, property taxes, private mortgage insurance (PMI) and loan origination fees (“points”) that you paid in 2022. You should have a 1098 from your mortgage lender that shows this information. Lenders send these in January/early February.

Re: Can interest paid for the year on my condo mortgage be deducted? Also, Can property taxes included in my HOA payment for the year be deducted?

Opus 17 — Wed, 16 Nov 2022 16:12:16 GMT

You can deduct mortgage interest that you pay for on your main home and one second home, up to a combined mortgage balance of $750,000. If your mortgage balance is more than $750,000, the deductible part of your interest payment will be calculated on a proportional basis.

You can deduct property taxes that you pay on any property that you own within the US, up to a maximum of $10,000 for all state and local taxes.

In general, you can’t deduct HOA fees on your personal income taxes. However, if the HOA fee includes property taxes on jointly owned communal property, and you have an itemized statement to prove that, you can include that as a deductible property tax.

topic Can interest paid for the year on my condo mortgage be deducted? Also, Can property taxes included in my HOA payment for the year be deducted? in Deductions & credits

Can interest paid for the year on my condo mortgage be deducted? Also, Can property taxes included in my HOA payment for the year be deducted?

Re: Can interest paid for the year on my condo mortgage be deducted? Also, Can property taxes included in my HOA payment for the year be deducted?

Re: Can interest paid for the year on my condo mortgage be deducted? Also, Can property taxes included in my HOA payment for the year be deducted?