Ready for Tax Day?

As tax season approaches, it's time to consider potential deductions that could maximize your tax return. Here are some key housing-related points to remember for your 2023 taxes:

Home Interest Deductions:
   - If your mortgage closed before Dec. 16, 2017, both married couples filing jointly and single filers can deduct interest on a combined debt limit of $1 million.
   - For mortgages closed after Dec. 16, 2017, the limit is $750,000 for both primary and second home loans.

Property Tax Deductions:
   - Taxpayers who itemize can deduct up to $10,000 (or $5,000 if single or married, filing separately) on a combination of state and local property, income, and sales taxes, applicable to primary residences, vacation homes, and undeveloped land.

Capital Gains Tax Exclusions:
   - Married-joint filers can exclude up to $500,000, and single filers up to $250,000, when selling their primary home, provided they've lived there for two of the past five years.

Residential Energy Credits:
   - Certain energy-efficient home improvements such as windows, doors, solar panels, and hvac systems may qualify for tax credits. Refer to IRS guidelines for eligibility.

Remember, these are just highlights of housing-related tax laws. Consult your tax advisor for personalized advice on maximizing deductions. For updates on real estate trends or assistance in buying or selling a home, reach out us at Johnson & Burge.

## Sources:
1. [IRS - Tax Changes You Need to Know for 2017](https://turbotax.intuit.com/tax-tips/tax-planning-and-checklists/tax-changes-you-need-to-know-for-2016/L9lzqr4Ia)
2. [Hills Lowinski Real Estate - Tax Time: Housing-related Items to Keep in Mind](https://hillslowinskirealestate.com/2022/02/07/tax-time-housing-related-items-to-keep-in-mind/)
3. [IRS - Guide to filing your taxes in 2024](https://www.consumerfinance.gov/consumer-tools/guide-to-filing-your-taxes/)
4. [IRS - Publication 936 (2023), Home Mortgage Interest Deduction](https://www.irs.gov/publications/p936)