RWD_p014

RT09032015

14 times • SEPTEMBER 3, 2015 FOR BREAKING NEWS VISIT www.timesnewsweekly.com REFINANCING? UNDERSTAND THE TAX ISSUES Bushwick block party brought bright smiles From the looks of things, guests young and old enjoyed a good time together at this block party on Weirfield Street between Irving and Wyckoff avenues in Bushwick. They even had a special guest in local City Councilman Rafael Espinal, who is pictured with the crowd. BY SALVATORE P. CANDELA. EA. ATA. ABCAall Now & End Your Tax Nightmare! Are you thinking of refinancing your home mortgage? Keep the tax rules in mind. 1. Track “points.” A point is a fee equal to one percent of the loan amount. While you can fully deduct the points you pay when you buy your home, points paid on a refinancing are generally amortized over the term of the loan. If you refinance a loan for a second time, the balance of remaining points from the previous loan becomes immediately deductible. That’s also the case when you sell your home. What if you refinance for more than your existing mortgage balance and decide to use some (or all) of the extra cash to improve your main home? A portion of the points you pay “up front” is deductible. Points not immediately deductible can be amortized over the term of the loan. 2. Trace your use of funds. When you “cash out,” or convert $100,000 or less of your home equity to cash during a refinance, the interest is deductible. If you take additional amounts, the interest may or may not be deductible depending on how the funds are used. When you use those funds to expand your business, the interest may be deductible business interest. If you buy investments, the interest may be investment interest expense. 3. Look at the whole picture. Not all loan fees are deductible. However, you can generally claim a deduction for some of the property taxes paid through the refinancing. One more reminder: Double-check your tax withholding or estimates when you refinance. Why? Reducing the interest rate on your loan means the mortgage interest deduction on your federal income tax return also goes down. Adjusting your withholding or estimated payments can help avoid an unanticipated tax bill. Need more information on refinancing or mortgage interest tax deductions, or other tax, accounting, payroll or other business related matters, please call me at 718.894.1500 or email at info@thetaxadvocategroup.com. • Owe the IRS more than $10,000? • Being Audited? • Unfi led Tax Returns? • Wage & Bank Levies? Co-Author of the best selling book “Breaking the Tax Code” (T) 877-TAX-1040 (F) 718-894-4476 Salvatore P. Candela, EA, ATA, ABA Enrolled Agent - Tax Advisor scandela@thetaxadvocategroup.com www.thetaxadvocategroup.com ADVERTORIAL THE ART OF ELDER LAW For more than 30 years the elder law firm of Ronald Fatoullah & Associates has been providing New Yorkers with legal solutions that protect, relieve and endure for generations. Our dedicated attorneys are skilled in the art of giving legal advice and are accomplished in elder law, Medicaid eligibility, estate planning, trusts, estate mediation, wills, asset protection, guardianships, probate and most issues associated with the challenges of aging. Our distinguished reputation is based on a commitment to the highest ethical and professional standards and our core values of honesty, integrity, and excellence. “We won’t settle for anything less”. 1-877- ELDER LAW 1-877-ESTATES Queens • Long Island • Manhattan • Brooklyn ATTORNEY ADVERTISING Photo courtesy of Katherine Serrano Photo courtesy of Katherine Serrano From the looks of things, guests young and old enjoyed a good time together at this block party on Weirfield Street between Irving and Wyckoff avenues in Bushwick. They even had a special guest in local City Councilman Rafael Espinal, who is pictured with the crowd.


RT09032015
To see the actual publication please follow the link above