Can one take the home interest and property tax deductions if married filing separately, where title to the home is in the spouses name only. The spouse is a NRA and does not file a US return. Does it matter who is paying the mortgage and property taxes.
Thank you.
Mortgage Interest Deduction
Moderator: Mark T Serbinski CA CPA
I looked into this once, and found the answer in the instructions for schedule A. If I recall correctly "the person who actually paid the mortgage interest and/or property taxes can claim the deduction". If you wrote the mortgage or property tax cheque from your bank account - than you should be able to take the whole deduction. If it is a joint bank account - then you can probably only claim 50% of it.
Personally I haven't done this, because I haven't needed to since my Cdn taxes are so high. Suggest you get more opinions - or read schedule A instructions.
Best Regards.
Personally I haven't done this, because I haven't needed to since my Cdn taxes are so high. Suggest you get more opinions - or read schedule A instructions.
Best Regards.
Thank you. Yes I did some further digging since ownership seems to be an issue as well as who pays to qualify for deductabilitu. There is something called equitable ownership that may apply even if not on title. Myself I just take the standard deduction but my son seems to get hit by amt which he could avoid by itemizing.
I guess there could be a similar issue in respect to the sale of the home. If title is in the NRA spouse's name can the US taxpayer spouse not on title be able to avoid concerning himself with the possible gain on the sale of the home. Is there any experience with this?
I guess there could be a similar issue in respect to the sale of the home. If title is in the NRA spouse's name can the US taxpayer spouse not on title be able to avoid concerning himself with the possible gain on the sale of the home. Is there any experience with this?