Questing regarding principle residence mortgage - Posted by Ian(Honolulu)

Posted by JHyre in Ohio on February 16, 2002 at 06:03:34:

The interest is deducted from your income. You should calculate what portion of your payments is interest…that portion reducing your income. For example, if your income is $36,000 per year and the total interest paid is $30,000 per year (it WON’T be that round a number!), then your taxable income is $6,000, assuming that you have no other deductions (e.g.- interest).

John Hyre

Questing regarding principle residence mortgage - Posted by Ian(Honolulu)

Posted by Ian(Honolulu) on February 14, 2002 at 03:34:47:

For your principal residence, does the mortgage completely off-set any income? Say I’m making 3,000 a month and the house I live in has a mortgage of 2,800 a month. Do I only pay taxes on 200 a month? Thanks in advance.

-Ian