Could a Yacht Be Considered Your Second Home?
They say that a home is where the heart is. However, when it comes to a second home, it can be where your heart is, or just about anywhere else, as far as the IRS is concerned. In fact, not only can a second home be just about anywhere, it can actually be just about any structure, including a yacht or even a sailboat.
That’s right, boats typically count as a second home in the IRS’s book for figuring tax breaks, as long as the boat has cooking, sleeping and toilet amenities. According to the IRS, when it comes to your federal income tax, home mortgage interest is any interest you pay on a loan that is secured by your home. If you itemize your deductions and you own a qualified home with a mortgage you can deduct the interest from that mortgage.
Likewise, for your federal income taxes, you can also deduct taxes on personal property based on the value of that personal property, including any taxes due on a boat. However, you must be using your yacht or other boat for personal use. You don’t even have to stay in the boat or second home anytime during the year in order to claim real estate, property and interest taxes as deductions.
So if you’re considering buying a yacht or you already have one, then make sure you are fully maximizing the tax breaks that could come with it. If you want to make sure you are taking advantage of every tax break possible, then contact GROCO today for help. Just call 1-877-CPA-2006.
Top 7 Traits of Successful Business Leaders
Top 7 Traits of Successful Business Leaders What does it take to become a successful leader in business? There are many traits that people associate with being a good business leader, but some are more important than others. Ultimately, if you want to end up being good at being in charge you will almost certainly…
Why More Indian Entrepreneurs Are Joining the Jet Set
Why More Indian Entrepreneurs Are Joining the Jet Set Although the exact numbers aren’t known, there are roughly 12,500 private business jet owners in the world, with the majority of these aircraft based in the United States. Clearly, that’s a very small percentage of the population. Of course, the percentage of people that can afford…
How the Wealthy Use Their Charitable Foundations for Good
How the Wealthy Use Their Charitable Foundations for Good What do Bill Gates, Mark Zuckerberg, Paul Allen, Gordon Moore, and Michael Bloomberg have in common? Of course, they are all among the world’s wealthiest individuals, but these men also have something else in common. They’re all on the list of the world’s most generous people.…
Could This Become the World’s Most Expensive Car?
Could This Become the World’s Most Expensive Car? World’s Most Expensive Car Got your eyes on a sweet, new ride this year? The luxury car market is a hot market to be in so it’s a good place to put your money if you’re interested in a new set of wheels. You have plenty of…