Welcome back! Ask questions, get answers, and join our large community of tax professionals.
cancel
Showing results for 
Search instead for 
Did you mean: 

2018 Mortgage Interest CA returns

jskcpa
Level 2
CA did not conform to the new mortgage interest limitations under TCJA.  Where do we claim the additional mortgage interest deduction allowable on CA returns for the interest on home equity debt?
Labels (1)
0 Cheers
1 Solution

Accepted Solutions
abctax55
Level 15

Just enter the total....Lacerte should do the *math* for us.

(I wanna be a member of the pot stirring club too)

View solution in original post

0 Cheers
8 Replies 8
abctax55
Level 15

Just enter the total....Lacerte should do the *math* for us.

(I wanna be a member of the pot stirring club too)

View solution in original post

0 Cheers
jskcpa
Level 2
Thank you, but that won't work.  Taxpayers can deduct mortgage interest on up to $1MM of debt on their principal residences.  Taxpayers may no longer deduct the interest on equity debt on their federal returns, but they may on their CA returns.  I cannot find a place in Lacerte to input the interest on the equity debt so that it will be an addition to mortgage interest on the new Schedule CA of the 540
0 Cheers
George4Tacks
Level 15
https://accountants-community.intuit.com/articles/1606564&src=lscosi
leads to https://accountants-community.intuit.com/articles/1609409
So, there needs to be those messy  entries down at the bottom of Screen 25.

ex-AllStar
0 Cheers
jskcpa
Level 2
Thank you, all.  I appreciate the help re:  making those messy entries on the bottom of Screen 25.  I've spent quite a bit of time making the entries down there, trying to convince the program to print the additional CA interest on the new Schedule CA in the addition column on the right.  No luck!  It's a bit of a weird situation.  Guy is MFS.  Loan is about $600,000 - his alone.  I simply cannot convince Lacerte to give me the extra interest on the CA, even though I check the box at the bottom of Screen 25 telling the program to use the $500/$550 limit.  It would be GREAT if the Lacerte programmers could just put in a State Only box to the right of the federal mortgage interest number, allowing us to just adjust the federal number.  They have done it with investment interest.  They should be able to do it for mortgage interest.  I can make the calculations myself.  I don't need all that nonsense at the bottom of Screen 25.  Thanks again, you guys!
0 Cheers
cheryl1
Level 1
I agree!  That method didn't work for me either.  Lacerte needs to add a "State if different" box to mortgage interest
0 Cheers
abctax55
Level 15
Interesting...it was working for me 8 days ago.  Looks like something got *broke*; and I haven't played with it since.
(I wanna be a member of the pot stirring club too)
0 Cheers
George4Tacks
Level 15

Look at the much longer CA Schedule CA for all those wonderful adjustments. 


ex-AllStar
0 Cheers
George4Tacks
Level 15
0 Cheers