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From: tbg@apollo.uucp (Tom Gross)
Newsgroups: net.taxes
Subject: deducting refinancing points
Message-ID: <2c733a99.2a75@apollo.uucp>
Date: Wed, 12-Mar-86 10:49:01 EST
Article-I.D.: apollo.2c733a99.2a75
Posted: Wed Mar 12 10:49:01 1986
Date-Received: Fri, 14-Mar-86 07:42:29 EST
Organization: Apollo Computer, Chelmsford, Mass.
Lines: 29


> I heard that the points paid when refinancing are NOT deductable from your
> income taxes. The reasoning given was you were not buying anything, just
> refinancing. Still I thought points were interest whenever you paid them
> and interest is deductable. Can anyone clarify the points issue?

    It's beginning to look like we need a
    net.taxes.are.refinancing.points.deductable  newsgroup.

    this question KEEPS coming up, without any definitive
    answer.  the CORRECT answer to all such questions is
    this pearl of wisdom taught to me by my father:

        "When in doubt, deduct it!"

    If you just follow that rule you will ALWAYS come out
    ahead.  I am amazed by the number of people who 
    evidently WORRY about the IRS finding an error in 
    their return.   For god's sake, DEDUCT THE POINTS,
    if it turns out that you aren't supposed to deduct
    the points the IRS will TELL YOU THAT, if they even
    notice, then you MIGHT HAVE TO PAY A LITTLE MORE OR
    GET BACK A LITTLE LESS.
          
    Not worried,

    Tom Gross 
    Apollo Computer, Inc.
    Chelmsford, MA