The filing deadline for 2018 taxes is fast approaching.
If you’ve purchased a home in the last year, here are three tax breaks to keep in mind. As you navigate this often-stressful period time of the year, these are the breaks you should be aware of, especially since some of them have changed.
New Property Tax Break
The amount of deduction of state and local property taxes changed for 2018.
The total property tax deduction is capped at $10,000.
Interest from Cash-Out Refinance
If you used an equity line of credit to secure cash, and paid interest on that loan, you may qualify for a deduction.
In order to qualify, funds from the loan must have gone toward home improvements. There are limits, however, to this deduction, which fall in line with those that govern mortgage interest.
Working from Home
Working from home has its perks outside unlimited access to a fully stocked fridge and cable TV. Self-employed individuals can also enjoy tax deductions.
Those who are self-employed and use space within the home exclusively for office purposes may qualify for a break in 2018. Limits for this deduction have also adjusted for 2018.
If you have any questions about these deductions or any others, make sure to contact us today!