|
"John A. Weeks III" <john@johnweeks.com> wrote
> In article <Bh6%d.31524$hA3.22348@trnddc09>,
> "spiderman" <peter_parker@home.com> wrote:
>
> > I'm first time investor, so please bear with me. Can one claim tax
> > deduction for interest expense paid in down payment on a house? If so,
can
> > one actually indicate how much of the down payment would go to interest
and
> > is there a limit? Thank you.
>
> No. The deduction is for actual interest paid, and it is recorded
> on a form 1098 that is issued by your lender. If you make a
> down payment, you avoid interest. Since you didn't pay it, you
> get no deduction.
My initial reaction was the same as yours.
But then I wondered if the OP meant that he BORROWED the down, and thus he
would have an interest expense. If this really is investment property then
such interest probably is deductible.
Of course, borrowing $ for a down is probably contrary to what's permissible
by the Mortgagee.
--
Rick Hess
New Orleans
To reply, eliminate All_Spammers
|
|
Re: tax deduction for interest expense in down payment?
