2 results for tag: Mortgage Interest


2022 Last-Minute Year-End Tax Strategies for Marriage, Kids, and Family

If you have children under the age of 18 and you file your business tax return as a proprietorship or partnership, you can find big savings in the work your children do for your business. And if you operate as a corporation, don’t neglect to hire your children; there are good savings for you there, too. In this article, you will find five year-end tax-deduction strategies that apply if you are getting married or divorced, have children who did or could work in your business, and/or have situations where you give money to relatives and friends. 1. Put Your Children on Your Payroll Did your children under age 18 help you in your ...

Claiming Your $250,000 Exclusion When Your Name Is Not on the Deed

In last April's article (2022) "Deducting Mortgage Interest When Your Name Is Not on the Deed", you learned how such a Mortgage Interest Deduction is possible. Do the same rules apply to claiming the $250,000 Home-Sale Exclusion? Pretty much, but not exactly, as we explain. The Big Difference Mortgage interest: IRS Reg. Section 1.163-1(b) states: Interest paid by the taxpayer on a mortgage upon the real estate of which he is the legal or equitable owner, even though the taxpayer is not directly liable upon the bond or note secured by such mortgage, may be deducted as interest on his indebtedness. Note the phrase “Legal or Equitable ...