If you own, bought or sold a home in 2015, Uncle Sam has a few tax deductons you should know about.
Property Tax is Deductible
Real estate property taxes paid on your primary, secondary or rental properties are deductible.
Home Mortgage Tax Deductions
Mortgage interest is one of the largest deductions of which homeowners can take advantage. Most loans pay more toward interest at the beginning of the loan, so new homeowners or refinancers really don't want to miss out on this one!
Tax Advantages of Selling a Home
Home values are soaring, but here is one area where you may not have to pay capital gains tax. A $250,000 in sales gain ($500,000 for married, filing jointly) is tax-free as long as you owned the property for two years and lived in it for two of the five years before selling the home. If your property sold for more than the gain allowed, the records of property improvements could help you establish a higher basis for your house and reduce your taxable profit.
Moving Expenses Are Tax Deductible
Did you move for work? You can deduct moving expenses if your relocation relates to starting a new job or a transfer to a new location with your current job. The new work location must be a sufficient distance from your old home and you must begin working shortly after you arrive.
You should always seek a tax professional's advice when you have questions about filing your taxes.
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