Questions about taxes pertaining to home ownership My question is a little unusual; but I want to get a general idea of what people know about my question so I can have a better idea of what I need to be asking a tax person (or CPA, etc) pertaining to owning a home or several homes, etc.
I have income that was judicially awarded to me in court; this income is tax sheltered to me, meaning I bear no responsibility to file taxes on this income nor do I ever have to report it to anyone if I choose not to. Here's the cool thing, the IRS already knows about this income that I receive monthly because the insurance company most likely pays the taxes on it (or maybe not, I don't really know, I am not privy to that info).
It was my understanding that I do NOT have to have any taxable income to claim deductions on property taxes and loan payment interest; I have heard it from someone in my family and from a sales person whom sells RVs (because I am looking into getting an RV)
So... I don't understand how you can get money without actually owing anything to the government in the first place; so am I understanding this correctly that I CAN claim a deduction on interest paid on my mortgage on my primary residence and second home? (I know there's rules about rental property and the rules change when one of the homes is used as a rental property instead of personal).
All I want to know is this even possible and if it is; is it even acceptable by the IRS? |