Preparing Tax Plans and Returns for Clients with Vacation Homes or Home Offices (VHHO)

Pre-requistes:

Knowledge Level:

Major Topics:

• Understanding the tax rules for acquisition indebtedness and home equity indebtedness
• Should you rent or use your vacation home? Opportunities and pitfalls
• Maximizing your interest expense deduction in light of limitations in the tax code
• Mixed use of a residence: how deductions are limited in rental situations
• Home office: qualification and calculation
• Why buying a vacation home can be a very smart investment
• Rules for using like-kind exchanges on principal residences and vacation homes
• Strategies and planning for renting a principal residence instead of selling it

Learning Objectives:

• Discuss the application of §280A to a vacation home that is also rented out during part of the year
• Identify the issues related to the use of the residence as a home office
• Distinguish a pure residence from a mixed-use residence and how §280A applies

Designed For: