Up to this point, you had to have itemized, Schedule A on your 1040 tax return in order to be able to deduct Real Estate Taxes. The IRS has made a rule change that lets those who do not itemize deduct R/E taxes for 2008 and 2009
Real Estate Tax Deduction — There is an additional standard deduction for those who don’t itemize their deductions, but pay real estate taxes. The additional deduction amount is equal to the amount of real estate taxes paid up to $500 for single filers or up to $1,000 for joint filers. This deduction is available for the 2008 and 2009 tax years and increases your standard deduction.
Although most people who own a home pay more than $1,000 in R/E taxes, a $1,000 deduction is better than the zero you got last year. So don't miss this when doing your taxes this year.
Thursday, January 15, 2009
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3 comments:
Wow. That's a useful post. Thank you for sharing.It is good to have a tax deduction checklist to help you focus on the IRS tax deductions that are applicable to your situation.
Thanks for the informative post! Most people aren't aware of this change, and as a result, won't take advantage of it. Even if you file your own taxes, you should research eligible deductions to find out what you might qualify for.
such a nice information about income tax so i read and understand about tax preparation. Here is information about Tax Return.
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