If a person pays cash for their home when that person files for income tax can they get their money back?

This is a strange question. I've never heard of someone doing this but I had to check it out................Someone told my mom if a person pays cash for their home when they file for income tax that same year that person can get some or all of that money back.|||That person is incorrect.





When a person is a homeowner, real estate tax and home mortgage interest are deductible (that is, they reduce taxable income) on the homeowner's tax return.





If your mother paid cash for her home, she would not have a mortgage. Therefore, there would be no deductible interest.





That being said, if she is considering paying cash it would save money on interest. If your mother is in the 15% tax bracet, she would have to pay $100 in interest in order to get a $15 tax savings. If she can pay cash for the home, she wouldn't pay interest, and therefore would save $85 for every $100 she would have paid.|||No!|||Your question makes no sense. Get what money back?|||The short answer is no the longer depends on many other factors. The annual real estate taxes MIGHT be deductible on a Sch A if there were major medical expenses or something else.





But JUST for buying and paying CASH, no.|||Someone is having a laugh at your mother's expense. Either that or they are in the finals for the "Tax Idiot of the Year" award.|||No. That would be like the IRS paying for your home and you know that isn't going to happen.|||Well, yes it's a strange question - and I don't know who told you mom that, but they are totally wrong. The only tax benefit they could get would be deduction of the real estate tax they paid, like any other homeowner - and that's only if they itemize.





Just one more of the incorrect stories about taxes......