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Deductions & credits
Thank you for your patience.
As per the Schedule CA instructions, California limits your mortgage interest paid deduction to the first mortgage debt of up to $1,000,000 for the purchase of the home, plus an additional $100,000 of home equity debt. In your situation, you have one mortgage and do not have home equity debt.
Since your mortgage debt was dated in 2015, the federal grandfathered limit is $1,000,000. Therefore, the deductible home mortgage interest of $29,530 on your federal return is the same amount that should be on your California return. No adjustment on Schedule CA is necessary in this situation.
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‎April 3, 2024
11:24 AM