In this episode, Dr. Friday discusses the rules for deducting mortgage interest in 2024. If your mortgage exceeds $750,000, only interest on the first $750,000 is deductible, unless your mortgage predates 2018, allowing deductions up to $1 million. Dr. Friday highlights the importance of being cautious when itemizing deductions, as incorrect filings may trigger IRS audits. Get expert tax guidance at drfriday.com.
Transcript:
G’day I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment.
2024 interest expense. Now it’s been this way for the last couple years to be quite honest, but if you have a mortgage over $750,000 and some people do, then you can only deduct the interest up to $750. This can affect in 2018. So if your mortgage is older than that, you can take the entire thing. If it’s under that, well, I should take, you can take it up to a million dollars. If it’s over a million dollars, you can’t even take that. So make sure, because I’ve had many people have that audited by the IRS because they’re trying to itemize and it doesn’t always work. If you need help understanding how their taxes work, go to the web, drfriday.com.
You can catch the Dr. Friday call-in show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.