[quote=djc][quote=plm][quote=flu][quote=djc][quote=plm][quote=FlyerInHi]I think technically Mello Roos is not tax deductible. But people do it anyway.[/quote]
I think there was come clarification by the IRS that the mello roos are tax deductible in response to something CA tried to do.[/quote]
Reviving this old thread.
Anyone have further info on the above? This impacts me this tax year. :)[/quote]
My interpretation from the ruling is that it can be deductible, doesn’t mean that it is definitely deductible. Just that the State ruling mello roos as not deductible is wrong. That being said, I think it should be deductible but for most people it doesn’t matter because of AMT.[/quote]
Doesn’t AMT only kick in for high earners or is there something I’m missing?[/quote]
I would guess AMT would start for upper middle class. Since your probably need at least an upper middle class income to buy properties with mello roos, I would guess most people would be affected by AMT. But if you are a high earner then you may already pay a high tax rate so AMT doesn’t affect you.
