Do you write your boat off on taxes?

[roln 20s]

Hey everyone- how many of you write your boat off as your 2nd home?
What are the requirement? porta-potty, stove, etc??? Any size requirements?
Thanks for the info-interest on 100K a year is pretty nice.
Roln 20s

[Steamin' Rice]

I believe to qualify as a second home, it needs to have eating, sleeping, and restroom facilities.....Most boats 24' and larger have all of this, right?

[roln 20s]

Most boats 24' and larger have all of this, right?
I know whatever I buy will. :D
Roln 20s

[NOTALENT]

all it needs is a toilet and it can be considered your second home. Then you can write it off.

[al cole'holic]

All it would take really is a porta potty, and only if you were to be in an audit. Fortunately for us my tax man did not need to use the boat as a write off for last year. Even better, if you can take it out on the house the interest can be taken regardless... :D

[91nordic29]

before we bought this boat we wanted to make sure that it met this criteria and our tax man said it had to have a porta pottie, sink and cooking surface (hibachi or coleman stove).
all you can wite off is the intrest on the loan but it helps.

[Dave C]

It needs a toilet and a bed & a stove.
However, if the IRS finds out its a boat, expect an audit. the word "boat" on a tax form is an audit trigger.
Better to get a home equity line and deduct the interest from there.

[91nordic29]

here we go:
bought a 5th wheel trailer for vacationing. Can I deduct the interest on the loan for this 5th wheel? Where would it be listed?
You can deduct the interest paid on the loan you took out to purchase the trailer as acquisition indebtedness interest only if the loan is secured by the trailer and the trailer meets the requirements of a qualified home. A qualified home includes a house, condominium, cooperative, mobile home, boat or similar property that has sleeping, cooking and toilet facilities. You can only have one principal residence and one qualified second home. Regardless of whether the trailer qualifies as a home, interest on home equity indebtedness secured by another qualified home and used to acquire the trailer may also be deductible. The interest is deducted as mortgage interest on line 11 of Form 1040, Schedule A (PDF), Itemized Deductions.
References:
Publication 936 (PDF), Home Mortgage Interest Deduction
Tax Topic 505, Interest Expense

[Boozer]

So if I build a shed out back and finance it on a seperate loan then the loan I use to finance the house. In theory the shed would be tax deductible if I were to store a bar b q (cooking surface) Porta Pottie (the one we use when camping so the women dont have to walk 5 miles to a toilet at midnight) and sleeping surface (Queen size air matress).
In theory this would be correct??

[Dave C]

booz, its on the same property as the first so you can have it on the first.
I think you mean if you build a shack in the woods, with a porta potty and a stove (so you can build bombs in the peace-and-quiet-so-you-can-hear-the-voices-in-your-head-more-clearly).
Yes then the interest would be deductible.
We are talking about "second homes" here.

[Dave C]

nordic is right.
that is a fancy word for a secured loan.
You can have one second home and deduct the interest from the loan. (as long as it has a dumper, bed, heat for the meat!)

[Havasu Cig]

We Write the boat off as a second home, the Havasu house as a rental, and are attaching our new Weekend Warrior as part of the Havasu compound. We have our accountant take care of everything so it is done right. If in doubt talk to your accountant.

[Dave C]

they probably list the "boat" as a recreational vehicle-and-stuff..... and not a boat. That is what you pay your accoutant for...... wink

[XTRM22]

Havasu Cig:
We Write the boat off as a second home, the Havasu house as a rental, and are attaching our new Weekend Warrior as part of the Havasu compound. We have our accountant take care of everything so it is done right. If in doubt talk to your accountant. Yeah, but your freakin boat is bigger and more comfortable then my house!! :p plus more valuable probably has a galley, and jacuzzi under there somewhere. :D LOL I'm in the same position, Havasu house is a rental so I could write off the boat, if it were even close to meeting the criteria (it ain't)
Chuck