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If you have rental income, you will put the mortgage interest (and estate tax) on the Schedule E, for instructions on how to enter it here and only here, see blog below. Do not put in the Mortgage Interest section under Deductions & Credit. The mortgage interest is offset by the income that it is associated with. Everything for your rental property, income, expenses, mortgage,
absolutely everything, will be entered in this section concerning your
rental income and expenses. As you go through the software answering questions regarding your rental, you will also get the opportunity to deduct other expenses that may be associated with it.
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