RV Tax benefits you should know

While taxes may be one of the least fun things to think about at the end of the year, it’s one of those things you can’t go without doing. But RV owners can enjoy a few tax benefits that people who don’t own an RV don’t qualify for. Taxes aren’t fun, but one of our favorite things, RVing, can actually help you save a little money.

You can count your RV as a second home

According to Turbo Tax, the IRS defines a home broadly, allowing the term to encompass houses, condominiums, mobile homes, RV’s, house trailers and boats. The criteria is simply that is must have sleeping, cooking, and toilet facilities. If so, it can be treated as a primary or secondary residence. The benefit of treating an RV like a primary residence is to take allowable tax deductions that can increase your overall tax bill. As long as the RV is security for the loan used to buy it, you can deduct mortgage interest paid on that loan.

Full Timers can count your RV as your first home

Full timers can also take advantage of a home loan interest deduction without it being your second home. If you live in your RV and it has a sleeping area, cooking area, and toilet facilities then you should be able to write it off. There may be some exceptions so you should always consult a tax professional before making any assumptions. A qualified professional can confirm that your RV meets all the necessary requirements.

RVs used for business can also get tax deductions

Was your RV used solely for business purposes? If it was, then you can write off a lot of expenses associated with it on your taxes. The whole RV could qualify as a business deduction as long as it was never used for personal use. If you lived and working in your RV full time you could possibly deduct certain business-related expenses as well. Talk with a tax professional to confirm what deductions you can qualify for.

*When preparing your taxes, we highly recommend working with a certified public accountant or tax professional who understands federal and local law. Any recent changes to tax laws can impact whether you qualify for certain deductions or not.

We hope you enjoyed this post.  While taxes aren’t fun, RVing is one of our favorite topics and it’s nice to know your home on wheels can help you save money on your taxes. 

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