When a taxpayer rents a residence for part of the year, the residence is not eligible as a qualified residence for the home mortgage interest expense deduction unless the taxpayer's:
A)personal use of the home exceeds the taxpayer's rental use of the home.
B)personal use of the home exceeds half of the taxpayer's rental use of the home.
C)personal use of the home exceeds the lesser of 14 days or 10 percent of the taxpayer's rental use of the home.
D)personal use of the home exceeds the greater of 14 days or 10 percent of the taxpayer's rental use of the home.

Question

Quizplus · Accepted Answer

According to the IRS rules, a residence is only eligible as a qualified residence for the home mortgage interest expense deduction if the taxpayer's personal use of the home exceeds the greater of 14 days or 10 percent of the rental use of the home. This means that if the taxpayer's personal use of the home is less than 14 days or less than 10 percent of the rental use, the residence is not eligible for the deduction. Therefore, option D is the correct answer.

When a Taxpayer Rents a Residence for Part of the Year