Tax Time - If you bought or sold a home in 2010 show your accountant your HUD-1 form
You may be eligible for tax deductions. Have you done any of the following things in 2010?:
- Bought a home
- Sold a home
- Refinanced a loan
If yes, then make sure to give your accountant a copy of the Settlement Statement (HUD-1) form you received at the closing table. This form lists all the costs involved in the real estate transaction.
Click here to see a sample of the HUD-1 Form: http://www.hud.gov/offices/adm/hudclips/forms/files/1.pdf
Were you a first time buyer in 2010? You could qualify for the The First Time Buyer Tax Credit. Visit http://www.irs.gov/newsroom/article/0,,id=204671,00.html for more info and make sure to call your accountant.
Although most real estate closing fees are not tax deductible, some items that could be tax deductible are:
- Loan origination fee = "points" paid
- Prepaid mortgage interest
- Pro-rated real estate property taxes
If you own a home, some of these items could be tax deductible
- Real estate taxes
- Interest paid on mortgage loans
Call your accountant to find out what deductions or credits you are eligible for. For further information visit www.irs.gov
All information is subject to errors and ommissions.
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