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Q&A of the Week August 2, 2023

Question

I am a new homeowner. What is deductible and what is not deductible?

Answer

Homeowners can deduct state and local real estate taxes (up to $10,000) and home mortgage interest.

Homeowners generally cannot deduct the following:

  • Insurance

  • Home repairs

  • Cost of utilities (including internet and Wi-Fi)

  • Association fees

  • Settlement or closing costs

  • Payments for domestic help

  • Depreciation

  • And others

A tax professional can help you determine your tax deductions.