Does anyone know if and how the maintenance surcharge is deductible from income taxes? I always assumed it wasn’t, but the January 20, 2017 memo from the coop concerning Real Estate Tax and Mortgage Interest Deductions says:
SURCHARGES AND YOUR INCOME TAXES
Upon collection, surcharges in the amount of 5%ti 50% of your basic carrying charges are divided as follows . . . Additionally, if your surcharges are in excess of 50% of your basic carrying charges, the excess portion is divided as follows . . .
This may affect the income tax deductibility of your surcharge payments.
Please not that any questions about the deductibility of real estate taxes and mortgage interest cannot be answered by employees of Mutual Redevelopment Houses, Inc. and must be directed to your accountant or tax adviser.
We cannot give cooperators assurance that any portion of the surcharge is deductible for income tax purposes.
What does that mean? I asked my accountant, who lives in the coop, but he had no idea.
Does anyone here deduct part of the surcharge from their income taxes? If so, under what deduction (i.e., Schedule A, Line 6 real estate tax, Line 8 other taxes paid?)