Tax Articles
Introducing Our Firm
Our Services
Real Estate Taxletter
Need Help?
Other Websites
Site Map

Find us on Facebook
Follow me on Twitter
Connect on LinkedIn
Connect on Google+

Can we claim a deduction for points paid to refinance our home?

March 5, 2003

Subject:  refinancing home points
From:  Helene
Date:  Tue, 28 Jan 2003


My husband said we can claim our points we paid when refinancing our home in 2002. Do we need a special form, or do we just put it in a certain place on our return?

Thank you


Date:  5 Feb 2003

Hello Helene,

Points can only be deducted for the purchase of a principal residence. Points for refinancing a loan on a residence must be amortized over the term of the loan. If the loan is later refinanced with a different lender, the unamortized balance of the points for the previous loan can be deducted at that time.

Points that can't be traced to Form 1098 are reported at line 12 on Schedule A.

Good luck!
Mike Gray

We have more answers to frequently asked real estate tax questions! We also offer up-to-date information about new tax real estate tax developments in Michael Gray, CPA's Real Estate Tax Letter.

IRS Circular 230 Disclosure: As required by U.S. Treasury Regulations, you are hereby advised that any written tax advice contained on this website was not written or intended to be used (and cannot be used) by any taxpayer for the purpose of avoiding penalties that may be imposed under the U.S. Internal Revenue Code.

Can we claim a deduction for points paid to refinance our home?

Home | Real Estate Taxletter | Articles | FAQ | Introducing Michael Gray, CPA | Need Help? | Other Links

Michael Gray, CPA
2190 Stokes St., Suite 102
San Jose, California 95128-4512
(408) 918-3162
Fax (408) 998-2766
email: mgray@taxtrimmers.com
© 2016
Subscribe to
Michael Gray, CPA's
Real Estate Tax Letter