I was offered stock in my company and am paying it back over 15 years. Is the interest I accrue every year deductible?

msnill8 — Sat, 01 Jun 2019 05:01:03 GMT

Yes, it could be. -------------------------------------...

TomYoung — Sat, 01 Jun 2019 05:01:05 GMT

Yes, it could be.

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"Investment interest expense is the interest on money you borrow to purchase taxable investments. For example, you can deduct the interest on a margin loan you use to purchase stock, but not if you use the margin loan to buy a car or tax-exempt municipal bonds.

There's a cap on deductibility equal to your net investment income, but any leftover interest expense can be carried over for future use, without expiration.

To calculate your net investment income—and therefore how much investment interest expense you can deduct—add up your taxable interest income, ordinary dividends and even long-term capital gains and qualified dividends (if you make a special election to treat them as ordinary income, more below). Then, subtract any investment-related miscellaneous itemized deductions you actually get to use."

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Work through the "Investment Interest Expenses" interview in the "Retirement and Investments" section to enter the investment interest you paid.

Tom Young

topic I was offered stock in my company and am paying it back over 15 years. Is the interest I accrue every year deductible? in Investors & landlords

I was offered stock in my company and am paying it back over 15 years. Is the interest I accrue every year deductible?

Yes, it could be. -------------------------------------...