tag:blogger.com,1999:blog-9159479.post111348148777853513..comments2023-10-10T03:39:50.342-05:00Comments on A Little Urbanity: People Don't Want Free MoneyUnknownnoreply@blogger.comBlogger3125tag:blogger.com,1999:blog-9159479.post-1113503931503887892005-04-14T13:38:00.000-05:002005-04-14T13:38:00.000-05:00I am totally in support of the rehabilitation tax ...I am totally in support of the rehabilitation tax credits and am grateful for all the projects thaey have made possible. However, here's some other reasons that people might not take the tax credit: <BR/><BR/>You can't count labor you do yourself without paying yourself (and paying income taxes on your labor), so a lot of sweat equity cuts down your opportunity to hit the threshold. Without paying for a contractor, it is sometimes hard to hit that 25K in two year period. Or know ahead of time that you will hit it. We've put in a new kitchen, 2 baths, and HVAC, and would still of come under the 25K mark except for having to fire/hire a new plumber.<BR/><BR/>If we decided to go ahead with it, and push to hit the mark, 30% of 25K would have been $7500 divided over 5 years, or $1500, now this is still nothing to laugh at, but now you cannot deduct (I know, not as good as a credit) that amount from your federal income taxes.<BR/><BR/>For the do-it-yourselfer, its not such a good deal. <BR/><BR/>If you live in a local historic district, have an covenants on your home, and have a homeowner's association to follow up on things, sometimes not having a 4th oversight committee seems nice. <BR/><BR/>ElizabethAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-9159479.post-1113500633728120452005-04-14T12:43:00.000-05:002005-04-14T12:43:00.000-05:00Heh. I send in rebates, too.Rob, you could always ...Heh. I send in rebates, too.<BR/><BR/>Rob, you could always buy now, renovate later, as we did (if you can stand living through a rehab!).<BR/><BR/>When we've run through this tax credit, we'll probably start on the next phase.David Whartonhttps://www.blogger.com/profile/13251439852685796681noreply@blogger.comtag:blogger.com,1999:blog-9159479.post-1113499242230342632005-04-14T12:20:00.000-05:002005-04-14T12:20:00.000-05:00David-The reason they likely don't go through the ...David-<BR/><BR/>The reason they likely don't go through the "trouble" is probably along the same lines as why they:<BR/>1.) didn't return a non-performing Infomercial item.<BR/>2.) don't return ill fitting or defective merchandise to the local "big box" store.<BR/>3.) don't fill out the $20 rebate form on a $200 perchase.<BR/>4.) don't care <BR/>5.) were in a very big hurry to move into that home<BR/><BR/>Personally, I'd take the free money but, the cost of entry plus renovation in your neighborhood is out of my reach currently.Rob Alanhttps://www.blogger.com/profile/09219906678744621367noreply@blogger.com