If taxpayers want to claim the home loan interest deduction, please pay attention to (if applicable) the following situations:
1. Property under construction
Since the uncompleted apartment is still a building under construction and the taxpayer cannot use it as a residence, the mortgage interest from the uncompleted apartment to the taxpayer’s formal move-in (after the occupation permit is issued) is not deductible.
2. Hold a residence only part of the year
A taxpayer only holds a property for part of the tax year, and the use is a residential property, and the highest mortgage interest deduction is still available.
3. Only part of the residence is used as a residence
Taxpayers may rent out part of the property they hold and only use the other part as their own residence. The interest deduction for mortgages must be adjusted according to the ratio of residence to rent. As for the rental portion (rent paid for property tax), the mortgage interest deduction can be claimed when choosing personal assessment.
4. Employer provides dormitory
Due to the remote working place, some taxpayers need to live in the dormitory provided by the employer for a long time, but at the same time, he and his family have a fixed residence. His dormitory is not his main residence, but his fixed residence is the main one, so his mortgage interest can be deducted.
The above information is for reference only. If in doubt, we welcome your tax inquiries