Second home

Forum|Forum|4 years ago
February 17, 2022
3 replies
4 views

If our son lives in our second home as his primary residence and only pays utilities, no rent, can I still deduct the mortgage interest and property taxes, without receiving any rental income?

xmasbaby0

Level 15

You can always enter mortgage interest and property tax for a second home that you own. There is a cap of $10K for the amount of state and local tax you can deduct. You cannot enter anything about rent or depreciation or repairs, etc. for the house since you are not charging rent.

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

bmcmil13Author

Level 2

Thank you.

And a follow up

So do I just select Second Home in Turbo tax, even though it says "You must live there a certain amount of time"?

If you select Other and Rental Property which takes you to Schedule E.

Opus 17

Level 15

@bmcmil13 wrote:

Thank you.

And a follow up

So do I just select Second Home in Turbo tax, even though it says "You must live there a certain amount of time"?

If you select Other and Rental Property which takes you to Schedule E.

I haven't looked at this specific page, trying to enter a 1098 for a second home, but if it is asking what I think it should be asking is, is this property "personal use." To deduct the expenses on a second home on schedule A, it must be personal use, and if it is partly personal use and partly rental, you must split the expenses between schedule A and schedule E. In this case, allowing family to live there makes it personal use even though you aren't personally living there.