Paying taxes is unavoidable and tax time is upon us. But if you are a homeowner and you are paying your mortgage, why not get tax deductions if possible?
The current tax law stipulates that mortgage interest is tax-deductible. That’s not a news. Perhaps, you notice it on your monthly mortgage statement but you pay it anyway. Take advantage of the regulations and get a tax break.
Keep in mind that if the mortgage interest is paid to a lender, it’s also tax deductible. Some homeowners may find that this is the biggest federal income tax break of all tax deductions available to homeowners.
What is more, it’s not limited only to first mortgage, second can use it, too. So, if you are a tax-filing homeowner, you are most likely eligible to claim mortgage interest paid as a deduction.
Also, IRS allows you as a homeowner to deduct real estate taxes the same year you paid them. Real estate taxes are paid twice per year.
Learn more at The Mortgage Reports.