Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Posting-Version: notesfiles - hp 1.2 08/01/83; site hp-pcd.UUCP Path: utzoo!watmath!clyde!burl!ulysses!mhuxr!mhuxt!houxm!vax135!petsd!pesnta!hplabs!hp-pcd!john From: john@hp-pcd.UUCP (john) Newsgroups: net.taxes Subject: Re: taxes & home purchase Message-ID: <53400016@hp-pcd.UUCP> Date: Mon, 19-Aug-85 12:44:00 EDT Article-I.D.: hp-pcd.53400016 Posted: Mon Aug 19 12:44:00 1985 Date-Received: Sat, 24-Aug-85 13:51:58 EDT References: <10951@rocheste.UUCP> Organization: Hewlett-Packard - Corvallis, OR Lines: 20 Nf-ID: #R:rocheste:-1095100:hp-pcd:53400016:000:802 Nf-From: hp-pcd!john Aug 19 08:44:00 1985 <<< < < Your first mortgage payment isn't due unti May 1. Payments will be < due the first of each month thereafter. Thus, this year you can deduct < payments you made on the first of May, June, July, August, September, < October, November and December. You have to wait until next year < to deduct the payment you made on January 1. < Actually you can only deduct the "Interest" portion of your payment, the $20 or $30 that goes towards the principle is not deductable. Most banks will also maintain a reserve account for your fire/disaster insurance to protect themselves from your forgetting to mail in the payments. Question: If you mail the 1 Jan payment in a week early and it clears the bank by 31 Dec then what year do you deduct the interest? John Eaton !hplabs!hp-pcd!john