Just about two months until your 2014 tax returns are due. Whether you are doing them yourself or having a professional prepare the returns, you need to make sure you have all your deductions accounted. Below is a list I have created that will serve as a reminder to check and see if they apply for you.
- Did you refinance your home one or more times in 2014? If so, you may be able to claim points paid on the refinance as an interest charge.
- Have your tax professional or if you use a tax prep software, compare all your eligible deductions such as mortgage interest, property taxes and points paid to the standard deduction to see which will be the larger deduction.
- Mortgage insurance premiums or PMI paid over 2014 as part of your monthly payment may be deductible.
- Did you buy a Fairfax home for sale in 2014? Recheck the HUD-1 form you received at closing for any deductible items there.
- In 2014, did a seller pay points for you to help you gain a mortgage loan? They may be deductible.
- You may be eligible for an residential energy efficiency tax credit if you made a qualifying purchase and installed it in 2014.
- Do you work for yourself and have a home office? If it qualifies you can get a tax deduction for the space, utilities, insurance. Mention it to your tax professional or click on that part of your tax prep software to explore your options.
For more information, I would direct you to the IRS web page on Credits & Deductions. Here they detail individual and business credits and deductions.
If you need another copy of your closing statement for the home you purchased or sold in 2014, contact your real estate professional. As always, defer to your tax professional or account for advice on what tax credits or deductions you qualify to receive.