Thanks for the quick response. The way I read this it gets me part of the way there!
I think its now clear that for my CA taxes I can make a CA adjustment for the interest from an additional $100K of the HELOC. What is not clear to me is if I can deduct the rest of the HELOC in CA.
To me it seems the question hinges on the definition of "mortgage interest deduction acquisition debt". For the purposes of federal this is now only for the home that the loan is secured by. But before the Tax Cut and Jobs Act of 2017 I think the acquisition debt for a new primary residence would count as "mortgage interest deduction acquisition debt". Is CA still conforming to the old definition? The link you gave doesn't really give any clue on that.
- Joe
