Is mortgage payment for rental tax-deductible?  George Saenz
Dear Tax Talk, Is a mortgage for a house rental tax-deductible?
I know mortgage interest is, but how about the monthly payment I
make? I report the rental income as income; why not the mortgage
as expense? -- Yen  Dear Yen, Yearning for some more deductions?
Don't worry, we may find something for you.  When you borrow
money, such as on a mortgage, it isn't considered income. And
when you repay, it isn't considered expense. Instead, your tax
consequences from borrowing are determined by the use of the
funds from borrowing. For example, if you're a business that
borrows to pay business expenses, then those expenses are
deductible when paid from the proceeds of the borrowing.  When
you repay the loan, you have no further tax consequence. If you
fail to repay the loan, then you have forgiveness of debt
income. It kind of makes sense that if you don't repay the loan
that you used to claim deductions, then you shouldn't be allowed
to have claimed the dedu