mortgage deduction

[corinnerichard]

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.

[IRonMaN]

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

[rbynaker]

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]

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