328156
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

kmixon176
New Member

Married my name is on the deed. Mortgage is in ex husbands name. New husband pays mortgage. Can my new husband claim the interest/property tax?

 
x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

6 Replies

Married my name is on the deed. Mortgage is in ex husbands name. New husband pays mortgage. Can my new husband claim the interest/property tax?

Are you planning to file a joint return or separate returns?
Carl
Level 15

Married my name is on the deed. Mortgage is in ex husbands name. New husband pays mortgage. Can my new husband claim the interest/property tax?

the reference to "ex" husband leads me to believe they will be filing MFS for 2017.
Those who are "legally obligated" to pay the mortgage can claim the interest, weather they actually pay it or not. Since your ex is a signer on the loan, he is legally obligated to pay it, and can therefore claim it on his tax return even if you paid it.

Married my name is on the deed. Mortgage is in ex husbands name. New husband pays mortgage. Can my new husband claim the interest/property tax?

I don't believe that's correct.  The ex can't claim the interest if he doesn't pay.  The new spouse may be a "beneficial" or equitable owner within the meaning of numerous tax court cases.

Married my name is on the deed. Mortgage is in ex husbands name. New husband pays mortgage. Can my new husband claim the interest/property tax?

Why is the mortgage still in the ex's name ?  If his name is no longer on the deed then the bank should be told and the loan will be closed.  If you continue to allow this farce to continue then you can get into legal issues down the line.

Married my name is on the deed. Mortgage is in ex husbands name. New husband pays mortgage. Can my new husband claim the interest/property tax?

Generally, to deduct mortgage interest the taxpayer must be the borrower and actually pay the interest.  However, there is a provision to allow a deduction for an "equitable or beneficial owner."  An equitable owner is someone who "owns" the property in substance even if not in name and even if not the borrower on the mortgage.  There are several factors involved and the best way to learn about it is to read the tax court cases; here are 2, one where the taxpayer wins and one where they lose.

https://www.ustaxcourt.gov/InOpHistoric/PuentesMemo.Haines.TCM.WPD.pdf

https://www.ustaxcourt.gov/InOpHistoric/phansummary.kerrigan.sum.WPD.pdf

Because marriage creates certain presumptions and grants the spouse certain legal rights (such as, if you got divorced, your new spouse might be entitled to a share of your home even though he is not on the title) I think your situation is an easy call that the equitable ownership rule applies.  Your current spouse can deduct mortgage interest that he pays, whether or not you file joint or separate returns.

Note that he will check the box for "I did not receive a 1098" (since any 1098 won't be in his name) and the IRS may issue a notice of deficiency, which you would rebut by arguing for equitable ownership.  You will also need proof of the mortgage interest paid, which you might or might not be able to get easily.

And @Critter#2 is correct, this unusual relationship may be a violation of the mortgage terms and the bank may be able to "Call" the mortgage immediately if they find out.  You should look into refinancing or discuss the matter with an attorney.

Married my name is on the deed. Mortgage is in ex husbands name. New husband pays mortgage. Can my new husband claim the interest/property tax?

I agree with Opus 17,  The ex cannot clam anything that he did not pay himself. If you are filing jointly the it is *you* that is claiming the deduction since on a joint return both spouses are equal.  It makes no difference which spouse actually paid since again, on a joint
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**

Unlock tailored help options in your account.

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question