Finance
In South Dakota, which of the following is a potential tax benefit of homeownership?
ASouth Dakota state income tax deduction for mortgage interest
BFederal income tax deduction for mortgage interest and property taxes (for those who itemize)✓ Correct
CAutomatic exemption from property taxes after 5 years
DA federal tax credit equal to 10% of the home's value
Explanation
Since South Dakota has no state income tax, the main tax benefit is federal: homeowners who itemize deductions can deduct mortgage interest and property taxes, subject to the $10,000 SALT cap and other limitations.
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