Mortgage Interest Complications

[NotEasy]

Taxpayer and his sister are co-owner of a property so his name is on the deed. But the mortgage loan only has his sister's name on it. Taxpayer is the one who paid all the mortgage interest though.

Is there any potential problem for the taxpayer to claim the mortgage interest deduction.

I am thinking to have the sister "nominate" the mortgage interest to the taxpayer (by filing a Form 1098, she as the nominee and taxpayer as the payer). Is it going to work?

[mactoolsix]

Taxpayer and his sister are co-owner of a property so his name is on the deed. But the mortgage loan only has his sister's name on it. Taxpayer is the one who paid all the mortgage interest though.

Is there any potential problem for the taxpayer to claim the mortgage interest deduction.

I am thinking to have the sister "nominate" the mortgage interest to the taxpayer (by filing a Form 1098, she as the nominee and taxpayer as the payer). Is it going to work?

Yep, just be sure to include on the Sister's return the taxpayer's SS# and address on it as "nominee"