Tax Question: Can I deduct mortgage interest on my small farm business?

[PinkTiger]

I don't think I can, unless my farm is the bulk of my income (which it isn't) but since my residence and my farm are one and the same, it seems I should be able to deduct at least SOME of the interest. Anybody know?
Or know where I can find out? (Without paying).

[PinkTiger]

1. OK.

So nobody knows.

[cally]

2. I'm fairly sure that you can

deduct the interest from the income you make on the farm business. You would have to be very careful how you allocate the mortgage costs to the farm and the house. You can get tax info from the IRS online.

I am not an accountant nor a tax attorney!

[papau]

3. No problem on regular FIT-but alt min Fit has possible likely restrictions

:-)

[ajacobson]

4. Home/business mortgage interest

Seems to me that Publication 936 says that in the case of a mortgage that finances both home and business assets, a determination of how much was for the house and how much was for the business would be needed. The amount for the house would deductible under Schedule A.

In case you haven't yet, see Publication 936 (Home Mortgage Interest), Publication 225 (Farmer's Tax Guide), available online at www.irs.gov.

I'm not an accountant but I am an accounting student. So obviously any advice offered should be only considered as friendly and not as a full-fledged professional recommendation.

[PinkTiger]

5. Thanks!!!!! I now know where to look and what to look for.

I appreciate your help and will hold everyone harmless.