Updated over 6 years ago on .
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Interest Deduction 1098 INT Form
Hi there,
I purchased a home to rehab in 2018. I'm still working on it to sell in this year (2019).
I have received a 1098 Int for the interest paid for that property.
Should interest be filed on Sch A or Sch E?
The property is not my primary residence.
Thanks.
Rod
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Neither.
A would be for your personal property
E would be for a rental property
Flipping houses is a business- reported on Sch C
Interest incurred during the rehab is capitalized and not deducted.
The exact logistics of it will depend on when it was done being rehabbed and put into service. Interest once it's available for sale can be deducted during the period incurred.
