Marie Posted April 15, 2008 Report Share Posted April 15, 2008 Client took out a mortgage on land he owned and used the proceeds for his new home. Is that qualified home mortgage deductible on Sch A. Does interest tracing apply to home mortgage? Quote Link to comment Share on other sites More sharing options...
jainen Posted April 15, 2008 Report Share Posted April 15, 2008 >>Does interest tracing apply to home mortgage?<< Yes. It is not qualified acquisition debt because it isn't secured by the property. Therefore, interest tracing rules apply. In this case, the interest is traced to a personal use, which of course is not deductible. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.