Leadership Development...
is the key to 21st. Century Success in business. Harness the power of your peers to help you develop your employees, managers & successors!
| D-I-Y Strategic Planning...
allows you to make strategic decisions about your company's direction every time - all with the help of your peers!
| You'll Make Better Decisions...
when your ideas are challenged and your assumptions tested, continually and strategically - by a caring group of your peers!
|
|
Real Estate Tax Breaks For Your Home
By J Harris
It is always beneficial during tax season to own real estate, which gives you many annual deductions. If you purchased residential real estate during this year, however, you can look forward to even more generous savings at tax time.
Mortgage Interest
Though there are several real estate deductions you will be able to take this tax year, the largest is the interest you paid on your mortgage. According to Kiplinger’s (August 31, 2006), you may write off up to $1 million in mortgage interest for your primary or secondary home (does not apply to third home real estate, unless it is a business or rental property). This can be an enormous tax savings, especially within the first years of ownership with most of your monthly payments going to interest.
Property Taxes
Each year, you may deduct the property taxes you paid. If you recently purchased your home real estate, you also may deduct any taxes the seller paid in advance that were applied to your property tax debt. This applies even if you did not reimburse the seller for these real estate taxes.
Points Paid for Mortgage
Even if the seller paid your points, you may deduct them on your tax return within the year of purchase of the real estate. Each point is worth one percent of the real estate
Our articles continue...
|
mortgage. For a loan principal of $250,000, you may deduct $2,500 for each point. For a loan face value of $500,000, you may deduct $5,000 per point. If you refinanced your real estate, you also may deduct these points paid. However, the deduction must be spread over the life of the loan. If you sell the real estate or pay off the loan early, then the remaining deduction may be taken within the year of sale or loan payoff. Home Equity Debt You are allowed to deduct up to $100,000 of home equity debt each year, regardless for what you used the money. This makes home equity loans low-interest alternatives for purchasing cars, paying student tuition, underwriting your dream vacation, and so on. Home Business Use Deductions If you run a business out of your home or use the real estate for business purposes, such as rental property, you have many deductions for the use of this space. For home offices, the percentage of space you actually use may incur the same percentage in deductions for mortgage payments, utilities and home insurance. Improvements made to accommodate the business, such as bringing the real estate up to standard as rental property or installing a private bathroom when renting out a room, may qualify for a deduction against your profits. Property Damage If you incurred uninsured real estate damage due to a qualifying disaster (especially within a presidential declared disaster area), you may qualify for a tax deduction. There are limitations, however, and the deduction generally must be taken within the year the disaster occurred. What You Cannot Deduct If you recently purchased or sold real estate, you incurred many costs but not all may be deducted from your taxes. Examples of nondeductible expenses are closing costs, major home improvements to attain a higher sales price, title insurance, appraisal and inspection fees, or attorney fees. Don’t forget, deductions that lower your federal tax debt also decrease your state tax obligation! As with all financial advice, always check with a qualified accounting professional. Article Source: http://www.article-matrix.com John Harris is an expert researcher and writer on real estate topics such as economics, credit improvement tips, home selling advice and home buying preparations. For more on San Diego Homes for Sale visit www.twtrealestate.com
Here are some more financial planning articles...
Investment Strategy - Why You Should Consider Offshore Investment
By Joel Teo
If we want to ensure that our future is bright there are several reasons why you should consider offshore investment.If we listen to media you’ll have a picture of investor’s stashing money Read more...
|
The Tax Implications Of Debt Settlement And Why Chances Are You Shouldn’t Care
By Robert Zangrilli
(The author of this article is not a tax attorney, CPA, or enrolled agent, and this is not to be considered tax advice. If you need tax advice, you should consult someone who is certified in this Read more...
|
You Need To Know The Difference Between Sales And Use Tax Or You'll Pay For Your Ignorance
By Thomas Alston
This article contains information that is designed to help a prospective aircraft or vessel buyer to understand the maze known as California Sales and Use Tax Laws and Regulations. This first section Read more...
|
Payroll Outsourcing, Nine Reasons Why!
By Charles Read
Why outsource your payroll?Get the best in payroll processing for less.Deflect unwanted and unwarranted government interference.Protection from check fraud artists who could/would Read more...
|
| financial planning tool news: |
Lumetra names Linda Sawyer as CEO
Lumetra, a San Francisco nonprofit that has long been a major Medicare contractor in California, said Wednesday that Linda Sawyer has been named CEO, replacing longtime president, CEO and co-founder Jo Ellen Ross. Salesforce.com reports record revenue
Salesforce.com announced record revenue of $275 million for the third quarter on Wednesday, an increase of 43 percent over the same period the previous year. Former Thelen staffers sue over back pay, benefits
Three former lawyers and a staff member are suing Thelen LLP, claiming the failed San Francisco law firm owes them back pay and benefits. Carlyle Group to close Bay Area offices, cut staff 10% firmwide
Carlyle Group, the largest private equity firm with an office in San Francisco, said Wednesday that it will slash 10 percent of its staff firmwide, resulting in 100 people losing their jobs. It will also close its San Francisco and Menlo Park offices. (BPFH) Behrman Capital reportedly lays off most S.F. staff
The bleeding continues in San Francisco’s financial district as Behrman Capital reportedly joined the growing roster of firms laying off employees in the city. (BAC) (BNS) (AXA) (MET) (PFE) TSG sells stake in auto-polish maker
TSG Consumer Partners, a San Francisco private equity firm, recently sold its stake in Meguiar’s, an Irvine-based auto-polish maker. (MMM) Glu Mobile cutting employees, CEO pay
Amid continuing losses, San Mateo-based mobile gaming publisher Glu Mobile Inc. said it will cut an undisclosed number of employees and reduce CEO Greg Ballard’s pay by 25 percent at Ballard’s request. The struggling company, which markets games like Super K.O. Boxing, Stranded and Brain Genius, said in a statement released Tuesday that it will reduce expenses by $13 million, or 19 percent, from its second quarter levels, bringing operating expenses in 2009 to a projected $57 million. Del Monte doubles Q2 profit
Del Monte Foods Co. doubled its second-quarter profit as pricing and product volume pushed up sales. (DLM) Cell Genesys, Takeda officially halt GVAX collaboration
Cell Genesys Inc. and Takeda Pharmaceutical Co. Ltd. have ended their collaboration agreement to develop GVAX immunotherapy for prostate cancer. Blackberry maker RIM lowers outlook as iPhone turns up heat
Palm Inc.'s and Apple Inc.'s smart phone rival Research in Motion Ltd. lowered its outlook for its latest quarter in the face of declining demand and more competition. (RIMM) (PALM) (AAPL)
Cintas soars as local stocks surge to second straight big gain
Cintas Corp. skyrocketed Wednesday while Greater Cincinnati stocks surged to follow up on Tuesday’s rally. (CTAS) (M) (AFG) (HI) (HRC) (KNDL) (SSP) (FITB) (CHEV) (PCBI) Greenebaum plans merger with Indy firm
Greenebaum Doll & McDonald PLLC law firm plans to merge with Indianapolis-based Ice Miller LLP on Jan. 1, the <em>Indianapolis Business Journal</em> reported, citing “several sources in the legal community.” (TM) (HUM) (ASH) (CHDN) (CELL) (GABC) (IFC) Local economy’s slide continues, hasn’t bottomed yet
Greater Cincinnati’s economy has now slumped for five consecutive months with no sign that it’s hit bottom.
|
setting the level and drawing appropriate means of financing a real estate development project or acquisition.
|
|
