Boats, RVs and travel trailers can be a second home
At least as far as the IRS is concerned. If you borrowed the money to buy one of these mobile getaways, you may be able to deduct the interest from your taxes, just like you do for a home.
You should also talk to your tax preparer about which registration and licensing fees might be tax deductible. In many ways those fees are like the property taxes you pay on a traditional residence.
There are only two, general requirements to qualify for those tax breaks.
- The boat, RV or travel trailer must have sleeping, cooking and bathroom facilities.
- You must live in it at least two weeks a year.
It doesn't matter where you go, or store your RV, trailer or boat when it's not in use. You can park it in the driveway, leave it at your lakeside lot, or stash it at a marina.
Just remember that the IRS will let you deduct the interest for no more than two homes. But if you own a house, RV and boat, you get to choose which two.
It might also make some money for you. If you rent it for less than 15 days a year, you don't have to report that as income. If you rent it out for more than that, you do have to report it as income, but you also get to deduct any rental-related expenses you might occur.