Question on taxes

[Cruella 66]

Does anyone know if we can write off the property tax for our DVC membership on our federal taxes? I haven't done this in years past and was wondering...

 

[MIannie]

We were able to claim it in the past per our H&R Block agent. Haven't done our taxes this year yet, but plan on claiming it again.

 

[3happydancers]

We have been members since 2008 and we do every year

 

[Dean]

Does anyone know if we can write off the property tax for our DVC membership on our federal taxes? I haven't done this in years past and was wondering...

You can deduct it like any other RE tax but only the tax portion.

 

[makthompson]

You can write off the RE Tax portion, however, you have to be able to itemize to do this. unfortunately you can not write off if you use the standard deduction.

 

[ckpoodge]

Yes, you can deduct this on your federal tax return, if you itemize.

You can also deduct your loan interest (if you have a loan) if you itemize, and if you do not have more than your original mortgage (this is important - you can only deduct either your home and equity interest, or your home and vacation home interest).

If you have a state tax return and you get a real estate credit (IL has a tax credit for state income taxes paid) you can not include the taxes on your state tax returns.

 

[Dean]

Just a small point of additional clarification. For the loan interest to be deductible, it has to be an actual mortgage and tied either to a first or second home. A signature loan used to buy DVC would not be deductible but a HELOC or mortgage on DVC would. DVC and the one lender I mentioned do (by report) qualify under these rules. Anyone who also owns a home and a condo might not be able to deduct interest on a timeshare because you can only deduct up to 2 is my understanding.

 

[Anthony1971]

You can deduct RE taxes on your primary residence assuming you own and one vacation home (second home etc) A timeshare is a vacation home so long as it is deeded. If you have multiple vacation homes you would use the one with the higest tax. However as noted if you do not itemize this deduction is not allowed.

 

[chalee94]

You can deduct RE taxes on your primary residence assuming you own and one vacation home (second home etc) A timeshare is a vacation home so long as it is deeded. If you have multiple vacation homes you would use the one with the higest tax. However as noted if you do not itemize this deduction is not allowed.

i think you've confused the mortgage interest deduction and the property tax deduction.

i'm pretty sure you can itemize taxes paid without the same limitations that are placed on interest deductions.

 

[Cruella 66]

Thank you all! We have no loan so no mortgage interest deduction. Just wanted to be sure about the property taxes. Every little bit helps. Thank you all again! Cindy

 

[msylvester01]

Hi all - sorry to ask this but Im really confused on how to do this.

We are not home owners so therefor do not own a 1st or 2nd mortgage. Am I still able to claim the tax?

I guess Im just not sure how to do that.

Thank you in advance for any information.

M

 

[chalee94]

We are not home owners so therefor do not own a 1st or 2nd mortgage. Am I still able to claim the tax?

if you itemize, there is a line on schedule A.