Tax issue on DVC resale purchase...

[DB Washington]

Well, I am just burning up the boards with two postings in one day ... Anyway, my husband and I purchased a DVC resale midyear in 2001 and I was wondering - we paid the dues from midyear on and I know a portion of the dues are property taxes. We plan on itemizing and using the tax paid as a deduction on our 2001 FIT return but I was wondering how we go about determining what portion of the dues was tax, what documentation is used for filing with the IRS and I wanted to see if anyone else has taken the second home tax deduction on their return in the past. Thanks,

 

[jel0511]

That information is itimized for you on a dues statement, or a quick call to MS could give you what the tax portion of our dues were. If I remember it's very small and amounts to around $100, at least for me at 225 points.

 

[RobDoc]

When you receive the 2002 dues statement, you will find the actual property taxes for 2001. The Prop Tax is estimated each year and has actually been lower than the est the last 2 years at some of the DVC properties- resulting in a reduction in dues for the following year.

The new dues statement (which should go out in Dec.) will show the estimated tax due for 2002 and the actual paid for 2001- which should provide the information you need.

Enjoy!

 

[DB Washington]

Thanks for answering my questions, guys,