sisteve[at]aol.com wrote:
- quote -


Maybe what they were saying is that the standard deduction has gotten so
high the mortgage interest deduction isn't always such a big deal
anymore -- you might be better off renting (from a taxes perspective)
and taking the standard deduction rather than itemizing.

Best regards,
Bob

I think what you have crossed up is the comparison of itemized deductions to
taking the standard deduction.

Mortgage interest is only a useful for helping with taxes if the total help
to exceed the standard deduction.

If you are buying a home for the tax benefit and you don't have enough other
deductions, then renting could be a viable option.

<sisteve[at]aol.com> wrote in message
news:1129343792.794103.17350[at]g44g2000cwa.googlegroups.com...
- quote -

Can you repost the exact statement from the book?

I never heard of this.

I do know in some states a portion of one's rent is deductible from state
income taxes, and this savings can be sizable.

It's true that houses can be money pits, though. The cost of property taxes,
insurance, and maintenance often justifies renting vs. buying.

People buy houses not because they're necessarily a great investment, but
because they're willing to pay for greater space and more control over this
space.

<sisteve[at]aol.com> wrote
- quote -

In article <1129343792.794103.17350[at]g44g2000cwa.googlegroups.com> ,
sisteve[at]aol.com wrote:

- quote -

I have experience renting in two states, WI and MN. In both
cases, there was no deduction at the state or federal level.
Both states, however, have a homestead credit. It allows
you to get a refund of the difference in property tax between
the commercial taxes on the rental building and what the taxes
would have been if it was a primary residential house. There
are some income limitations, and this was a separate program
from income taxes. Both states also allow a deduction on
rental property for home based business office space.

-john-

--
================================================== ====================
John A. Weeks III 952-432-2708 john[at]johnweeks.com
Newave Communications http://www.johnweeks.com
================================================== ====================

sisteve[at]aol.com writes:

- quote -

No, there isn't. The only time you can deduct rent you pay for
your home is if you use part of your home exclusively for business.

Some states (like MA) may allow you to deduct some of your rent
on your state return.

Also, I think you are misunderstanding something since the point of
the standard deduction is that it is in lieu of specific deductions
you could take.

--
Rich Carreiro rlcarr[at]animato.arlington.ma.us

I was reading a finance book and they talked about benefits of
renting an Apt. instead of buying a house. They mentioned that
rent can be a Standard Deduction up to $10,000. Is there any truth to
this? I've tried searching the web but didn't come up with much info.

I appreciate any help with this.

Thanks in advance,

Steve