HomeReplacementWindows.net
New Home Owner/Tax Deductions?
I bought a home last year and so far I've put about $10,000.00 in it in improvements: a new high efficiency central air & heating system, vinyl replacement windows, and then your basic paint, paper, trim, etc. Is any of this stuff tax deductable? I know I can deduct my mortgage interest, but what else home related? Anything? lol
Public Comments
- You should be able to deduct any approved energy efficient Appliances.
- I hope this info answers your question.
Home Improvements
Some types of home improvements can potentially lower your tax obligation when you sell your home. Such expenses may include replacing a roof or adding an extension, which increases the usefulness and value of your home. These types of expenses/deductions cannot be used until you sell your home. However, all records should be kept for future use, since any home improvement costs can add up over the years. Be mindful that any normal repair or maintenance on your home is not tax deductible.
If you made energy saving improvements to your home during the year of 2008 you may be eligible for money saving tax credits.
You may be able to take up to 10% of the amount paid or incurred in energy efficiency improvements to your main home. Some of these improvements include insulation, exterior doors, a qualified water boiler, a main or circulating fan, and a metal roof. This credit can total a maximum of $500 and no more than $200 of that credit can be attributable windows—the labor associated with installation, their maintenance, or otherwise.
Some of the maximum credits are itemized:
$50 for each advanced main air circulating fan
$150 for each qualified natural gas, propane, or oil furnace or hot water boiler
$300 for each item of qualified energy efficient property.
You may be eligible to take a 30% tax credit for costs of certain solar and renewable energy additions to your new home. These include qualified solar electric property, solar water heating property, and fuel cell property (Money spent on the installation and preparation of the property is also eligible for a tax credit). The tax credit for qualified solar electric, solar water, or fuel cell property costs can even be taken from property that is not your main home. This credit can total up-to $1000.
If you are married and live separately the credit applies to each party of the couple individually. If you are married and live in the same home, each individual has to file their own Form 5695.
For any of the home improvements to qualify, a component must meet or exceed the criteria established by the 2000 International Energy Conservation Code and can ONLY be installed in the taxpayer’s main home in the United States. If the home or property is outside of the United States the Tax Credit does not apply.
- you may get something on the windows if they save energy. past that always take your settlement papers to your tax preparer as some items there are deductible
- In addition to mortgage interest, real estate tax paid also counts as an itemized deduction.
If you purchased your home after 4-8-08, you might qualify for the First Time Homebuyer Credit. This can be worth up to $7,500, but there are strings attached. It is actually an interest free loan which must be repaid over the next 15 years, and if you move the entire amount becomes due.
Edited to add: I forgot to mention that several of the above answers are incorrect regarding the Personal Energy Property Credit (ie: a credit of up to $500 windows, heat pumps, etc.). That credit will be available again for 2009. nut was not available for 2008.
- None of the stuff is deductible.
You are not eligible for home owner credit.
Read http://taxipay.blogspot.com/2008/04/list-of-articles.html
- you can deduct anything energy efficent related.
you can't do the paint, trim, etc..
- No, those items aren't deductible. Save your reciepts for the heating and air system - if you owe tax when you sell the house, those will help then.
You can deduct real estate tax if you itemize, or part of it even if you don't itemize.
