. Darrin owns a house with a FMV of $2,000,000 and acquisition indebtedness (first mortgage) of...
. Darrin owns a house with a FMV of $2,000,000 and acquisition indebtedness (first mortgage) of $1,250,000. He purchased the house and took out the mortgage in 2015. If his interest on the mortgage in 2018 is $75,000, how much of the interest from the mortgage will be deductible?
Homework Answers
|
First mortgage |
1250000 |
||
|
Interest for 2018 |
75000 |
||
|
Applicable Interest Rate |
6% |
= 75000/1250000*100 |
|
|
Mortgage Deductible will |
60000 |
= 1000000*6% |
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