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Wayne, a single taxpayer, purchases a new home valued at $725,000, in 2021, borrowing $625,000 from Century National Bank. He also pays $7.250 in points.
Wayne, a single taxpayer, purchases a new home valued at $725,000, in 2021, borrowing $625,000 from Century National Bank. He also pays $7.250 in points. During 2021 he pays interest of $71,000 on the loan. He also pays $32,000 in real estate taxes during 2021 Wayne pays state income taxes of $25,000 What is Wayne's allowable interest deduction on Schedule A in 2021? O a. $ - 0 - O b. $ 7.250 O c. $71,000 O d. $78,250 e. $82,750
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