The household may receive an excess shelter deduction for the continuing charges for the shelter where the household lives.
Allowable expenses include:
- the payments for the household’s shelter;
- This includes rent, mortgage and interest, condo, and association fees, or other continuing charges leading to the ownership of the shelter.
- This includes a car payment or mobile home payment and loan interest when the household lives in a car or a mobile home.
- It also includes the cost to rent or buy land on which a mobile home is located.
- property taxes, state and local assessments, and insurance on the structure; and
- The property tax includes the tax on a mobile home when the household owns or is purchasing the land.
- personal property tax for an unregistered mobile homes on rented land.
It does not include
- the insurance cost for furniture or personal belongings when separate from homeowner’s insurance,
- the cost of vehicle registration or tag, or
- personal property tax.
Calculate a household's expenses based on the ongoing expenses the client expects to pay during the certification period. You can use the most recent month's bills unless the household is certain that a change will occur.
Unless you verify there is a loan obligation, do not include any shelter costs paid by a person outside of the household.
Follow the appropriate rules with an ineligible or disqualified person is paying or helping pay the household expense. Prorate the shelter expense for an ineligible household member but not for a disqualified household member.
Input any shelter costs the household pays in IMS C54. The system determines if the household is eligible for an excess shelter deduction.