Tax Benefits for HomeownersTax season is upon us so the local West Palm Beach movers thoughts it would be a good idea to learn more about the tax benefits you can get as a homeowner. Most homeowners can deduct the interest paid on their mortgage as an itemized deduction on the IRS form 1040, Schedule A. This can give you a big tax break because interest is a big part of the monthly payment. However, the local West Palm Beach moving specialists found out that if your mortgage is more than one million dollars or your home equity loan is higher than $100,000 than there might be nothing you can do to get a tax break. If you can itemize your deduction, then you may be able to deduct your mortgage points in full the year they were paid. With refinancing, you can depending on the age of the loan, deduct points as well.
Real estate deductions conclude property taxes and you can claim them on IRS form 1040, Schedule A. For those who don’t have enough deductions to itemize, they can increase their standard deduction by adding some of their property taxes to their standard amount. Single homeowners can increase their standard deduction by as much as $500 and $1,000 for those married filing jointly.
If you had a work-related move, you may be able to deduct your moving expenses by using the IRS Form 3903 to calculate how much you can deduct and note the number on Form 1040. To qualify, your new job has to be at least 50 miles further from your old home than you old job was. You also need to have worked fulltime at least 39 weeks in the first 12 months after your move.
If you sell a home that you’ve owned for at least five years and lived in for at least the past two years, you can pocket the profits without having to pay taxes. Single homeowners can take up to $250,000 and married couples up to $500,000.
And speaking of selling your home… If you need to move out of yours, call the local West Palm Beach moving specialists for help with moving services. The All My Sons of West Palm Beach are backed by four generations of movers and are part of the All My Sons Moving and Storage network. All My Sons movers serve customers in Nashville, Raleigh, Jacksonville, Birmingham, Atlanta and Oklahoma City.