Purchase Solution

The Tax Advantages - Disadvantages of Home Ownership

Not what you're looking for?

Ask Custom Question

Please help answer the following question:

There was a time when home ownership had great tax advantages; how does home ownership compare 15 years ago as compared to today?

Purchase this Solution
Solution Summary

This solution explains the home advantages and/or disadvantages of home ownership from an income tax perspective. The posting goes into the advantages of home ownership and discusses why home ownership is preferable due to income taxes. Mortgage interest, private mortgage insurance, employee business expenses, and other limits are also explained. Home mortgage interest deduction is also included in the explanation.The solution is provided in 273 words.

Solution Preview

From an income tax standpoint, there are still advantages of home ownership and home ownership is preferable due to income taxes, as opposed to non-ownership.

All mortgage interest that the taxpayer pays throughout the year is used on the individual's Schedule A of their 1040. Private Mortgage Insurance (PMI), which is required by certain banks, is also fully deductible. The total amount of real estate taxes ...

Purchase this Solution
Free BrainMass Quizzes
Balance Sheet

The Fundamental Classified Balance Sheet. What to know to make it easy.

Introduction to Finance

This quiz test introductory finance topics.

Organizational Behavior (OB)

The organizational behavior (OB) quiz will help you better understand organizational behavior through the lens of managers including workforce diversity.

Business Ethics Awareness Strategy

This quiz is designed to assess your current ability for determining the characteristics of ethical behavior. It is essential that leaders, managers, and employees are able to distinguish between positive and negative ethical behavior. The quicker you assess a person's ethical tendency, the awareness empowers you to develop a strategy on how to interact with them.

Transformational Leadership

This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.

View More Free Quizzes
Related BrainMass Solutions

  • Types of business ownership, and franchising

    Franchises must report their earnings and other financial information as often as the home office requires to keep the name and franchise. A discussion on the various types of business ownership and franchising and their advantages and disadvantages.

  • Five forms of Business

    For each type of business entity, explain the following characteristics Formation Termination Ownership type Owner liability Taxation Advantages Disadvantages In compliance with BrainMass rules this is not a hand in

  • Types of Business Ownerships (Advantage & Disadvantage)

    560292 Advantages and disadvantages of types of business ownership There are many advantages and disadvantage to each type of business ownership. Select and discuss two advantages and two disadvantages for each type of business ownership.

  • Types of Business Organizations

    The solution lists the types of Business Organizations and their advantages and disadvantages.

  • Important information about Legal forms of business

    377480 Important information about legal forms of business What are the advantages/disadvantages of the different legal forms of business organizations? Sole Proprietorship - The founder and owner of the business are the same.

  • Sources of finance for a limited company

    Firstly, debt can provide a very good tax shield. This lowers the expenses of the firm. The owners can also maintain an ownership control by issuing debt instead of equity.

  • The three forms of business organization and the advantages and disadvantages of each form

    45384 The three forms of business organization and the advantages and disadvantages of each form What are the three forms of business organization? What are the advantages and disadvantages of each form?

  • Legal and Financial Decisions for Small Businesses

    Also please include the advantages and disadvantages of the form of ownership. Retail electronics - This one I would choose a corporation. The reason has as much to do with the cost of doing business as the business itself.

  • Types of Economic Systems

    The advantages and disadvantages of capitalism is also explained. References included.

View More Related Solutions