Community Forums

Dutch Star Don · 12-31-2015, 01:03 AM

Here is something I find interesting. The IRS has attached or associated your social security number to just about everything that is used in your tax return. You can still fudge on charitable donations (which has been tightened up) and on medical bills, but you need a large number to get past the percentage of your AGI to make any difference.

Now here is what's interesting and I'm not suggesting it be done, but you can easily deduct $5K-$10K a year with a bogus RV loan. The IRS doesn't require any documentation. For three years in a row I was questioned about the deduction for my RV. I always wondered why the IRS didn't require the lender to send an interest statement. In the last few years, I've been typing out the words "RV loan" with an account number on my return. I haven't been questioned since. It just surprises me that they haven't tightened this section up.

wildtoad · 12-31-2015, 05:08 AM

Quote:

Originally Posted by Butte64

How do you "register as a second home?"
I live in Aiken County SC and see no way to get a license plate other than as a Motorhome and the tax people are sure not giving me any break on PPT. Won't be any problem with IRS and second home interest.

Here in Richland county you have to go to the county auditors office and fill out a form. Basically it asks does the unit have a bathroom, shower, etc. you still get a paid receipt to get your tags.

wnytaxman · 12-31-2015, 06:47 AM

Quote:

Originally Posted by wildtoad

Here in Richland county you have to go to the county auditors office and fill out a form. Basically it asks does the unit have a bathroom, shower, etc. you still get a paid receipt to get your tags.

A number of the posts on here are referring to local law, not IRS tax regulations. Publication 936 does spell out the rules pretty well and second home interest is definitely deductible on Schedule A. As stated earlier, it must have bathroom and kitchen facilities. It also must have a principal of less than $1 million.

Be careful where you place the deduction on your Schedule A. It should NOT go on the mortgage interest line but rather as other interest with the notation of RV loan and to whom you are paying the interest.

As to the earlier statement that you can get away with claiming anything on that line, I would not advise that tact. Letter audits are becoming much more common and even if your record it on the correct line you may still be required to produce documentation. We never advise a client to take deductions that aren't real. Many of the rules are pretty generous and just following the law is all that you need to do.

If you have purchased an RV in 2015, you may also be able to take the sales tax on your purchase. You get the greater of either your sales tax deduction or your state income tax deduction. Take the sales tax from the chart and add to it the tax you paid on your 2015 RV purchase and see if it is more than your state income tax paid. That deduction is available in 2016 also.

cdinatl · 12-31-2015, 05:26 PM

Thank you all greatly. What an awesome groping on this forum. Refreshing.
Happy and blessed 2016 to all!

2008 Holiday Rambler PDQ Ambassador 360 ISC
2015 Jeep Rubicon
Blue Ox tow Patriot brake

sejac55 · 12-31-2015, 07:26 PM

wife was IRS auditor..we will be deducting...just meet the criteria...perfectly legal

Mr_D · 12-31-2015, 07:34 PM

I've always gotten a form from the lender that stated the interest was reported to the Feds so I've never had a chance to "fudge" it.

**NLOVNIT** · 12-31-2015, 08:34 PM

Quote:

Originally Posted by Mr_D

I've always gotten a form from the lender that stated the interest was reported to the Feds so I've never had a chance to "fudge" it.

When new, our Jeep & Bounder loans were both through First Merit. Every year at tax time, I had to go to the bank branch & have them run a report for interest paid during the prior year for the Bounder. Yet I rec'd by mail an interest statement each January for the interest paid prior year on the Jeep. When I questioned the branch manager about it, he said they do it for car loans but not RV loans.

Oh & also every year, I'd have to take the prior year's report with me, because it was never the same branch manager twice & they didn't know how to pull up the report until I showed them what the report looked like. More than once one of the managers said "No one's ever asked for that before!".

Lori-

litewave · 12-31-2015, 08:44 PM

The "TAX" portion of your RV license fees is also deductible on your Itemized deductions under "Other Taxes".

Scottybdivin · 12-31-2015, 10:40 PM

Quote:

Originally Posted by litewave

The "TAX" portion of your RV license fees is also deductible on your Itemized deductions under "Other Taxes".

I thought the whole thing was a tax?

Mr_D · 12-31-2015, 10:45 PM

Quote:

Originally Posted by Scottybdivin

I thought the whole thing was a tax?

Here in WA we have the tax, then they add a weight fee (not ded.), then some fee's for handling the renewal so only the tax part is deductible.

The "killer" is the almost 10% sales/use tax they charge, luckily it's only on the difference if you trade through a dealer. Buy new and it's the whole thing. And they are wise to low ball receipts and use a outside valuation service (that naturally is high).

Maverick50 · 01-01-2016, 04:00 PM

The Recreation Vehicle Industry Association. RVIA has made this tax deduction possible. It used to apply, only to Motohomes, but lobbying has included 5th Wheel RVs (not sure about TT RVs.)
If you rent a campsite and are using said campsites for a minimum of six months, the cost of rental is tax deductible. (Not sure if it can be multiple campsites or if it has to be one location.)
The Mileage to said campsite is deductible on a Motorhome and the Tow Vehicle used to pull your 5th Wheel. (Not sure if it can be multiple campsites or if it has to be one location.)
This is what I read about what the RVIA has done for us.
I'm posting this because this is what I read. Check it out. Due diligence is YOUR responsibility.

I'm just the messenger! Don't kill the messenger!

FlyingDiver · 01-01-2016, 04:21 PM

Quote:

Originally Posted by wnytaxman

Be careful where you place the deduction on your Schedule A. It should NOT go on the mortgage interest line but rather as other interest with the notation of RV loan and to whom you are paying the interest.

It goes on Schedule A, Line 11 which is labeled "Home mortgage interest not reported to you on Form 1098".

Hit_the_Rhod · 01-01-2016, 04:53 PM

Boats also qualify as a 2nd home if they meet the requirements of 936 as well. Bathroom, cooking facilities, etc. I'm not talking bass boat, but we took the deduction with our 36' Grand Banks and a 34' Monk.

I'll take any deduction that is legal, even if it is one that will typically raise a red flag to the IRS. Just make sure it IS legal, and have all your documentation in hand.

wnytaxman · 01-01-2016, 06:30 PM

Quote:

Originally Posted by Maverick50

The Recreation Vehicle Industry Association. RVIA has made this tax deduction possible. It used to apply, only to Motohomes, but lobbying has included 5th Wheel RVs (not sure about TT RVs.)
If you rent a campsite and are using said campsites for a minimum of six months, the cost of rental is tax deductible. (Not sure if it can be multiple campsites or if it has to be one location.)
The Mileage to said campsite is deductible on a Motorhome and the Tow Vehicle used to pull your 5th Wheel. (Not sure if it can be multiple campsites or if it has to be one location.)
This is what I read about what the RVIA has done for us.
I'm posting this because this is what I read. Check it out. Due diligence is YOUR responsibility.

I'm just the messenger! Don't kill the messenger!

I'm not sure where you are getting this information or how you are possibly interpreting this, but it is not correct in any way shape or fashion. Yes, you can deduct the interest paid on an RV or boat that has bathroom and kitchen facilities on it. Yes, you can deduct the sales tax paid on the purchase of your RV, boat, or automobile if your total sales tax deduction exceeds your state income tax deduction. However, a deduction for a non-business use of a campsite and the travel to that campsite is NOT deductible any more than our vacation to Jamaica would be deductible.

If someone thinks their RV vacation is deductible, please let me know where you plan on taking that deduction.