If one of a couple holds a residence, he does not have any income and needs to file a tax return, so he cannot claim the home loan interest deduction. However, he can nominate his spouse to claim interest deductions, and the number of years of home loan interest deductions for which he is the nominee will be reduced by one year.
Regarding the deduction of interest on home loans for married couples, the Inland Revenue Department will not accept that they have their own homes. The Inland Revenue Department only allows the deduction of mortgage interest from one of the main residences. On the contrary, it is acceptable for a couple to move to their own residence after separation or divorce. Therefore, they can individually claim the mortgage interest deduction from the date of separation or divorce.
The date of divorce is based on legal documents, but the separation case may not have legal documents, so the date of separation may be unfounded. Therefore, each spouse must provide sufficient evidence to prove the date of separation.
The above information is for reference only. If in doubt, we welcome your tax inquiries