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I am moving across the country for a new job. I am losing a ton of money on the sale of my old home. I was reading that losses on the sale of a home are not tax deductible unless the home is an investment (rental) property. I was wondering if I could buy my new home as an investment property (ie form an LLC or trust) and rent it to myself. Then in the future, if I sold it for a loss I could deduct the loss on my taxes. It seems like the IRS wouldn't allow this but I have no idea. It amazes me the loopholes and tricks people use to protect themselves. Also, I don't know if I would loose out on other tax benefits (like could I deduct the mortgage interest off of my taxes etc). Thanks for your thoughts on this crazy idea.