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Discussion Forum Index --> Tax Questions --> Interest expense on land held for investment
Donsher (talk|edits) said:
| 7 April 2006
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| I am pretty new to this so hope someone can help me. I have a client who is a real estate agent (so she materially participates in rental and land investing). She has a couple of pieces of land that she is holding for investment purposes. Is the loan interest on the property deductible? If so, does it go on Schedule E?
Thanks for the help.
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DZCPA (talk|edits) said:
| 7 April 2006
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| Goes on schedule A as investment interest. It will be limited by investment income and then balance carryover to next year.
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Nshnider (talk|edits) said:
| 6 January 2008
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| how is the interest deductable if bought land holding to build vacation cottage
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Ken@seamann.com (talk|edits) said:
| 7 January 2008
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| It's not as it is a personal expense. Only interest on 1st & 2nd home are deductable, unless loan was equity line on 1st home. (Primary Residence), then limited to $100,000 of personal loan amount.
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