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New Member
posted May 31, 2019 11:36:13 PM

I have a loan for land we lived on, but we lived in a trailer that we paid cash for. Does the loan for the property/land count for the mortgage deduction?

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1 Best answer
New Member
May 31, 2019 11:36:15 PM

Yes, you will be able to claim the loan interest and property taxes on this land that you home is located on.

To enter as Mortgage Interest in TurboTax Online (for TurboTax Online sign-in, click Here , then select "Take Me to My Return") or Desktop, please follow these steps:

  1. Once you are in your tax return, click on the “Federal Taxes” tab ("Personal" tab in TurboTax Home & Business)
  2. Next click on “Deductions and credits”
  3. Next click on "jump to full list" or “I’ll choose what I work on”
  4. Scroll down the screen until to come to the section “Your Home”
  5. Choose "show more", then Mortgage Interest and Refinancing and follow the onscreen instructions

It is OK to show your land loan interest expense as mortgage interest under the 1098 section of Schedule A. Just keep document about this deduction with your tax records. That way, it you are contacted by the IRS, you will just need to provide an explanation of your situation (that your mortgage interest is related to the land your home is located on and provide the IRS with the details of this loan).

1 Replies
New Member
May 31, 2019 11:36:15 PM

Yes, you will be able to claim the loan interest and property taxes on this land that you home is located on.

To enter as Mortgage Interest in TurboTax Online (for TurboTax Online sign-in, click Here , then select "Take Me to My Return") or Desktop, please follow these steps:

  1. Once you are in your tax return, click on the “Federal Taxes” tab ("Personal" tab in TurboTax Home & Business)
  2. Next click on “Deductions and credits”
  3. Next click on "jump to full list" or “I’ll choose what I work on”
  4. Scroll down the screen until to come to the section “Your Home”
  5. Choose "show more", then Mortgage Interest and Refinancing and follow the onscreen instructions

It is OK to show your land loan interest expense as mortgage interest under the 1098 section of Schedule A. Just keep document about this deduction with your tax records. That way, it you are contacted by the IRS, you will just need to provide an explanation of your situation (that your mortgage interest is related to the land your home is located on and provide the IRS with the details of this loan).