Talk of The Villages Florida - Rentals, Entertainment & More
Talk of The Villages Florida - Rentals, Entertainment & More
#1
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Bond Assessment
I know I should ask my tax professional but I am curious if anyone knows, if paying off your bond, is a tax deductible item.
I thought I ask, as he is in N.Y. and Florida, has it's own rules. I'm trying to avoid his having to research, this issue.
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"It doesn't cost "nuttin", to be nice". MOM I just want to do the right thing! Uncle Joe, (my hero). |
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#2
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This may help, kiddo.
The Tax expert in our home is playing golf. I am in charge of World Peace. (not doing well there) Bond , is it tax deductible?
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It is better to laugh than to cry. |
#3
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Bond payoff is not tax deductible. It is not a tax, but really is part of the purchase price of the house. No matter how the Villages sales agents try to spin it or dodge around it, the only thing it is related to a tax is that the annual bond pay down is "collected" along with your annual property tax bill, for an extra fee of course. In most states the cost of the infrastructure for a residential development is included in the "purchase price" and not "bonded out" as a separate item.
To my knowledge the interest paid on the bond is not tax deductible either, but someday someone may challenge that with IRS arguing that the "bond lien" is really a "second mortgage".
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All of us could take a lesson from the weather. It pays no attention to criticism. |
#4
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Quote:
The world needs your sage advice. |
#5
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No. No part of the bond payment is deductible.
If you take out a home equity loan to pay off your bond the interest you pay on the loan may be deductible. |
#6
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I was told by a realtor at an open house in Spanish Springs that in SS you have one bond and when it is paid off it is gone but in Sumter you have a second bond on your Tax that never goes away. Is this true or was he just blowing smoke up my backside?
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#7
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Sort of. Where I am in Sumter, there is an approximately $700/year line item on the annual tax bill for infrastructure (or something like that) maintenance that is due regardless of whether you have payed off your bond. I don't know if this exists in the other counties.
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#8
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Quote:
My personal opinion, it's a bargain. |
#9
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If it were tax deductible what would it be deductible from. Florida has no state income tax.
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#10
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Federal Income Tax. Doesn't matter because it is not a valid deduction.
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#11
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Easiest answer is a big fat NO.
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Closed Thread |
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