Hi, I purchased a home (main home) in March-2014, can i deduct the mortgage interest on my 2014 tax return? Also, I have a second home in which my parents live, and I took out a home equity loan on it for a divorce, can I deduct that mortgage interest as well??

#1;correctaslongas you itemize deductions on your return; however, the mortgage interest deduction can be taken only on itemized tax returns on Sch A of 1040. Also, the interest paid on first and second mortgages is limited to a total of $1 million of mortgage debt. If you're married and file separately, you can only deduct a total of $500k. Interest on a home equity loan can also be deducted. That's limited, however, to a maximum loan amount of $100k or the amount of equity existing in your home.

#2;Correrct asmentioned above.ou also must iemize deductionon Sch A of 1040, if not, you can’t deduct that mortgage interest