Taxes for owning two homes

Specialties Travel

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Here's a question. I'm thinking of buying an inexpensive second home in a state that has no state income tax.

Can I claim my residence (and taxes) in only one state of will my original state look for their cut?

If I cannot claim only one residence than I am also considering gifting my original property to my daughter and purchasing a second home for my personal residence. What do you guys think? Any drawbacks to owning two residencies?

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I would check with a tax advisor. You don't want to go off on your own and then down the road find out you were doing the wrong thing and have to pay penalties.

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Specializes in Peds, ER/Trauma.

Even if the state of your second home doesn't have income taxes, if you own 2 homes, you will still have to pay property tax on each home.

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I understand that I would have to pay property tax. My question is in regards to state income tax. Would I have to contribute to each state for income tax? I am trying to state income tax from my original place of residence.

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Specializes in OB, M/S, HH, Medical Imaging RN.

We don't have a state income tax so I really have no clue. I think a tax advisor, even H&R Block would be the one to ask or perhaps a real estate agent. Good Luck.

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Specializes in Peds, ER/Trauma.

I believe you would only have to pay income tax in the state where you are working, but I would double check with a tax advisor.

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