Can I writeoff the mortgage interest payment for tax purpose for my second home(rental property) in california
December 16th, 2010 | by admin |Can I write off the mortgage interest and the property taxes paid for my second property which is a rental property for tax benifits.
Both the properties are located in california.
I also own an investment property outside california. Can I also write off the interest payment for that property.
Rental property is not a "second home" for you, and you can’t write off the interest on schedule A.
Your rental income and expenses will be listed on a schedule E. You can write off those items there for the rental property, whether you itemize or not – they are totally separate.
You will show your rental income and expenses for the property outside of CA on a schedule E also.
2 Responses to “Can I writeoff the mortgage interest payment for tax purpose for my second home(rental property) in california”
By v b on Dec 16, 2010 | Reply
Rental income and expenses go on schedule E. If you have a loss for the year, the loss may have to be deferred to a later year.
Investment interest expenses is often deferred since you must have investment income to offset against it.
References :
By Judy on Dec 16, 2010 | Reply
Rental property is not a "second home" for you, and you can’t write off the interest on schedule A.
Your rental income and expenses will be listed on a schedule E. You can write off those items there for the rental property, whether you itemize or not – they are totally separate.
You will show your rental income and expenses for the property outside of CA on a schedule E also.
References :