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In 2018, Sally purchases a home by taking out a $400,000 mortgage. Six months later, she takes out a home equity loan of $100,000 on
In 2018, Sally purchases a home by taking out a $400,000 mortgage. Six months later, she takes out a home equity loan of $100,000 on that same house to buy a new car and pay off her credit cards. Which of the following is true about Sally's mortgage interest deduction? could the correct answer be Mortgage interest on the home equity loan of $100,000 is deductible on Schedule A? or Mortgage interest on the first mortgage of $400,000 is deductible on Schedule A?
I"m totally confused This is from my income tax class
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