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Level 4
March 22, 2022
Question

mortgage deduction

  • March 22, 2022
  • 2 replies
  • 9 views

This is tricky.  Have a client who has two 1098 forms for mortgage interest. The first one is for a house that she still has from a previous year and does not occupy it.  The second one is for a house she currently lives in.  I assume you can only claim the mortgage interest for the house she lives in.  She is not claiming any rent received from first house.  Any ideas how to proceed???  Thank you so much.

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2 replies

IRonMaN
Level 15
March 22, 2022

Aren't you still allowed to deduct mortgage on two homes?

Slava Ukraini!
rbynaker
Level 13
March 22, 2022

Sure, as long as they are both used by the taxpayer as a residence.

I have concerns about this statement:  "She is not claiming any rent received from first house."

Sounds to me like she's receiving rent income and not claiming it.  Otherwise why include this sentence?  Something smells funny.

JRC
Level 7
March 23, 2022

We are not the IRS. Request more information to your satisfaction and move on.