What Tax Deductions or Credits Can You Take as a Renter?

Homeowners can take advantage of some nice perks when tax time arrives. By itemizing deductions for real estate taxes and mortgage interest, property owners are usually eligible for some IRS tax breaks that others can't claim. So, what about renters? Don't expect much tax relief if you're handing over a chunk of cash to your landlord each month. Though most renters aren't eligible for a tax break, some rental credits do exist depending on where you live, your income, your age and a few other factors. If you qualify for a renter's credit, it may not be an overwhelming amount of savings, but every dollar counts in today's expensive market. Here's what to know if you're renting your home. Do renters qualify for a federal tax credit? On a federal level, the IRS doesn't offer a universal tax incentive for all renters. The foreign housing deduction is the closest thing to a federal deduction available for renters. So, if you're reading this and aren't living in the US, that's good news ... Read full article.