topic Investment Interest expense in Investors & landlords

Investment Interest expense

tengai650 — Thu, 06 Jun 2019 15:49:09 GMT

I carry a note (loan) on a house and an escrow company is used to collect payments. I received a 1099-INT for interest received and a monthly service is charged. Can I deduct this charge as "Investment Interest expense"? If so what description do I used/enter? Or am I do deduct it some other way?

Thanks,

Patrick

Yes, you can deduct the expense for collecting your taxab...

CarolC — Thu, 06 Jun 2019 15:49:11 GMT

Yes, you can deduct the expense for collecting your taxable investment interest. This as an allowable miscellaneous itemized deduction (for the amount above 2% of your AGI), which is taken on Schedule A. You could call this Private Mortgage Escrow Fees.