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.
Bodyguards and Panic Rooms- Is Now the Right Time?
Executive Protection, i.e. Bodyguards and Panic Rooms Now may be the right time for bodyguards and panic rooms. Looking several years back, I met an interesting individual during a family office networking event. Based on the crowd in attendance, I expected him to be a successful entrepreneur, but as it turns out he was a…
Can DAFs Maximize Family Office Charitable Dollars?
Can DAFs Maximize Family Office Charitable Dollars? When you hear the name John D. Rockefeller, an image of the first, made in the USA, billionaire may come to mind. Brilliant and extraordinary, yes, but we’re going to discuss his son and only heir to the immense Rockefeller fortune. John D. Rockefeller Jr. who spent much…
Radical New Plane to Revolutionize Private Flight
Is there a radical new plane to revolutionize private flight? Can the aviation industry experience the same tech driven disruption so common in other markets? This past month, an odd-looking aircraft was spotted flying in Southern California. It was small with thin wings, bullet like in shape and had a rear facing propeller on the…
Not Your Mother’s Pants!
What happens when you mix a charitable auction with a famous pair of pants from an iconic movie worn by a legendary international superstar? A six-figure donation to cancer research and a lot of very happy people… On November 2, 2019, the Estate of Olivia Newton-John listed several items on Julien’s Auction. The famous actor…