seller points

[ca_immigrant]

any tax gurus out here who can tell me this please ?

When filing your taxes for 2008 can you include lender paid points as a deduction ?

I did ready somewhere that you can include seller paid points for deduction and then deduct that from the basis value of the house...

I would think it is the same for lender paid points, anyone ?

Thanks in Advance !

[malibuguy007]

How can you ever rely on tax advice from unknown people on an immigration forum? Why don't you use one of the free online tax filing softwares?

[ca_immigrant]

Originally Posted by malibuguy007

How can you ever rely on tax advice from unknown people on an immigration forum? Why don't you use one of the free online tax filing softwares?

I am defiinately not going to depend on advise from here...
I am already using a paid software but does not seem to have this point clearified...

anways...thanks !

[nousername]

I bought in 2008 and took points paid as deduction.

[ca_immigrant]

Originally Posted by nousername

I bought in 2008 and took points paid as deduction.

thx...I am assuming in your case you paid for the point ?
I would have also deducted the same without hesitation....but in my case the point was paid by the lender

I read somewhere that points paid by seller can be reduced....so am wndering if lender paid points can also be taken into account as deduction......
any clue ?

[nousername]

I seriously doubt it.. Deductions are expenses paid by the tax payer on his after tax income. In your case lender was good enough to pay the point i.e. reducing his profit. I am sure the lender will take this as a business expense, hence you can not take it as deductions.

I hope this help.

Originally Posted by ca_immigrant

thx...I am assuming in your case you paid for the point ?
I would have also deducted the same without hesitation....but in my case the point was paid by the lender

I read somewhere that points paid by seller can be reduced....so am wndering if lender paid points can also be taken into account as deduction......
any clue ?

[ca_immigrant]

Originally Posted by nousername

I seriously doubt it.. Deductions are expenses paid by the tax payer on his after tax income. In your case lender was good enough to pay the point i.e. reducing his profit. I am sure the lender will take this as a business expense, hence you can not take it as deductions.

I hope this help.

I too think it is not possible and agree with you, thanks !. I just got confused because of this information that I read at the url below about seller paid points..so was thinking that maybe lender paid points can also be deducted

http://www.taxalmanac.org/index.php/...Paid_by_Seller