sonicator

My bank does not report the interest from my boat loan to the IRS but I would like to claim it as a second home. does anyone know how to do this?

articfriends

I do the same thing when I itemize my taxes,no interest statement from the bank like you normally get from a mortgage. I just take the december bank statement where it shows total interest paid for the year in the bottom right hand corner and my accountant uses this to substantiate my interest writeoff,Smitty

offthefront

Did I read where they are trying to change that ? I wouldn't doubt it ...seems Boaters (and the USA) is getting screwed almost on a daily bases ....

PatriYacht

Call your bank and have them send you a statement showing the interest paid.

docmanrich37

They're trying too.

rdoactive

Mine would not file a 1099 (or is it 1098, whatever) on a boat loan.
When you itemize simply fill in the loan institution on your schedule A. They also need a "code" number you get from your bank. Then fill in the interest. No form needed.
Just be sure your boat quailies, ie size, bathroom, cooking facilities, frequency of use, etc.
Gary

Jerry B

I'm no expert on this but i think sometimes a home equity loan interest rate can be lower than a conventional boat loan. If you were to refinance to a home equity loan the interest is tax deductible even if you buy dirt.
I do know that under a conventional loan the boat does have to qualify and supposidly you have to spend x many number of nights a year on it but who would know.
Check it out for yourself. My 2cents worth.
Jerry.

Island Hopper

As I understand it, you need to be able to live on it, and stay on it 14 days a year, to qualify as a second home. There are many interpritations of this.

1BIGJIM

Jerry B that is a good answer. The rates are lower, plus you get a 1099 from the bank. This way it will not set off the red flag for a possible audit. In addition individuals that do not have the qualifications for the second home can reek the benefits. I just like the idea of no audit flags.

stevesxm

what most race car guys do is get a home equity loan which IS deductable..and pay off their race car " personal loan."