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My California return shows a mortgage interest adjustment. That would not apply to me; is this a mistaken reference to the property tax adjustment?

 
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5 Replies

My California return shows a mortgage interest adjustment. That would not apply to me; is this a mistaken reference to the property tax adjustment?

Maybe not.

This, from www.ftb.ca.gov/current/income-tax-reform.shtml:

  • Federal law limits deductions for home mortgage interest on mortgages up to $750,000 for loans taken out after December 15, 2017.
  • California allows deductions for home mortgage interest on mortgages up to $1 million

My California return shows a mortgage interest adjustment. That would not apply to me; is this a mistaken reference to the property tax adjustment?

This is not my situation: my mortgage is under the $750K federal cap.

My California return shows a mortgage interest adjustment. That would not apply to me; is this a mistaken reference to the property tax adjustment?

is your adjustment positive or negative?

My California return shows a mortgage interest adjustment. That would not apply to me; is this a mistaken reference to the property tax adjustment?

It could be because of this:

Mortgage Interest Credit – If you reduced your federal mortgage interest

deduction by the amount of your mortgage interest credit (from federal Form

8396 , Mortgage Interest Credit), increase your California itemized deductions

by the same amount. Enter the amount of your federal mortgage interest

credit on line 8, column C. 

My California return shows a mortgage interest adjustment. That would not apply to me; is this a mistaken reference to the property tax adjustment?

I did not receive a mortgage interest credit.

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