Archive for October, 2007
California Tax Refunds For Fire Victims
Immediate tax relief in the form of tax refunds is available to victims of the wildfires in the seven Southern California Counties of San Diego, Santa Barbara, Ventura, Los Angeles, San Bernardino, Orange, and Riverside, The Franchise Tax Board (FTB) announced.
Property Tax Relief For San Diego Fire Victims
Many San Diego County property owners who suffered damage from the fires that ravaged the County are eligible for property tax relief.
California law, Revenue & Taxation Code Section 170, provides property tax relief for taxpayers whose property was damaged or destroyed as a result of the wild fires that engulfed San Diego County, by allowing the Assessor’s Office to temporarily reduce the assessed value of a property that was damaged or destroyed through no fault of the property owner. This relief is available to owners of real estate, business equipment and fixtures, and to owners of boats and aircraft. This program requires reassessment of the property to reflect its damaged condition, and the subsequent reduction or partial refund of the current year’s taxes.
Bank of America To Cut Off Mortgage Brokers
Ken Lewis, CEO of Bank of America, the nation’s second-largest bank, announced on Friday that it will shut down its consumer real estate division and its wholesale lending unit, which offers residential mortgages through over 7,000 independent brokers, at the end of the year.
The move signals a commitment to focus on direct-to-consumer lending through its banking centers and loan officers, said Floyd Robinson, Bank of America’s president of consumer real estate and insurance services. “While we are extremely proud of our strong track record in the wholesale business, we believe our long-term opportunity lies in maximizing our more competitive retail channels.”
House Passes Mortgage Forgiveness Debt Relief
Many San Diego homeowners considering a short sale or facing foreclosure got a bit of good news today with the U.S. House of Representatives passing H.R. 3648, The Mortgage Forgiveness Debt Relief Act of 2007. The bill addresses the forgiveness of acquisition debt, which is that debt used to purchase real estate that is used as a primary residence. This debt forgiveness due to a short sale or foreclosure would not be subject to taxation as earned income. The bill now goes to the Senate.
The bill saw a few modifications from it’s original version approved by the House Ways and Means Committee.
UPDATE: 12/14/2007 - Senate passes H.R. 3648, The Mortgage Forgiveness Debt Relief Act of 2007.
UPDATE: President Bush signs The Mortgage Forgiveness Debt Relief Act of 2007.
Overview of debt forgiveness portion of bill: Short Sale and Phantom Tax Debt Relief Overview
