Taxes And Timeshares

[Corky]

At a presentation, a salesman told me that if you own more than one week at the same resort, you can claim the maintenance fees on your taxes.

Does anyone know if this is true?

Thanks.

 

[gorevs9]

At a presentation, a salesman told me that if you own more than one week at the same resort, you can claim the maintenance fees on your taxes.

Does anyone know if this is true?

Thanks.

Sounds fishy to me though I believe you can claim any part of your MF that is allocated to property tax.

 

[Dave M]

Yes, that statement is absolutely false. Except for the property taxes (if paid separately or stated separately on your MF bill), none of the MF is deductible, no matter how many timeshares you own. It's a personal expense related to the upkeep of residential property (the timeshare) used for personal purposes, in the same way that utilities, repairs and other upkeep expenditures for your home are not deductible.

An exception would be if you rent your timeshare to others. In that case, all of your expenses related to the timeshare (e.g., property tax, fees, advertising and interest expense - even if on a non-mortgage loan) are deductible to offset the rental income.

For more on the subject of timeshares and income taxes, see the tax article in the TUG Advice section.

 

[Corky]

Thanks so much for the responses.

Dave, thanks for the lesson on taxes and timeshares. I look forward to reading the article you suggested.

Another lie from those presentation salesmen.

 

[MuranoJo]

Yes, that statement is absolutely false. Except for the property taxes (if paid separately or stated separately on your MF bill), none of the MF is deductible, no matter how many timeshares you own. It's a personal expense related to the upkeep of residential property (the timeshare) used for personal purposes, in the same way that utilities, repairs and other upkeep expenditures for your home are not deductible.

An exception would be if you rent your timeshare to others. In that case, all of your expenses related to the timeshare (e.g., property tax, fees, advertising and interest expense - even if on a non-mortgage loan) are deductible to offset the rental income.

For more on the subject of timeshares and income taxes, see the tax article in the TUG Advice section.

Dave, any special guidelines for 'owners' of RTU weeks they rent?

 

[Dave M]

Same answer. Expenses incurred in connection with the ownership and renting are deductible in offsetting rent. There are loss limitations, as outlined in the linked article.