Many people squeeze tax savings out of a home transaction.
If you're buying or selling a house as a part of a job-related move, the IRS may let you deduct your moving expenses. To be able to write off the cost of your move, your new house needs to be at least 50 miles closer to your new job than your old house was to your old job. You will also have to work for a certain portion of the first two years in the new location. If you meet these tests, you can write off all of your moving expenses including travel costs. Technically, the moving expense deduction is considered an adjustment to your income, so you'll be able to claim it even if you don't itemize your deductions, but you cannot deduct relocation expenses that may have been covered by the new employer.
When you close on the sale or purchase of
your home, you may end up paying property taxes for the period between when the house closes and the next payment is due. Any city, town or county property taxes that you pay at closing will be tax deductible. To deduct the property taxes you pay at closing, you'll have to itemize your deductions.
Trending in Your Area
What Do Building Inspectors Suggest When.
When drilling into the roof, building inspectors are.
Do You Need to Remove Ceramic Tile Before.
You always have to remove ceramic tile before putting.
Why Does Laundry Room Sink Keep Backing Up?
If your laundry room sink keeps backing up, you're.
How to Control Dryer Vent Dust
Controlling dryer vent dust is something you need to.