Who gets the Mortgage Interest Writeoff

[Desperado]

Hi- I am new here. Hope you can answer my question. My Xhusband claimed 100% of the mortgage interest deduction on a 2006 1040 giving him a nice tax refund. During 2007 I lived in our marital residence with our child while he lived in an apt. The judge had ordered me to pay the mortgage in full. I also was told to pay his car payment for him. We had owned a business together and the business had been his income source although he hadn't put in more than a weeks worth of work that whole year. I ran the business. I just couldn't very well fire him since he was half owner. Anyways, my name was not on the loan for our home (much to my suprise) since when he refinanced the home 5 months before moving out he left my name off of the loan papers and qualified on his own. Therefore, the mortgage company sent the interest deduction to him. However, the judge ordered me to pay the mortgage so am I not entitled to at least half of the deduction? I know this is 2008 but I was left with all of the debt including tax debt and I am trying to keep my head above water. I would appreciate any help. I live in Utah.

[Wolfy]

I'm no expert but I believe that you must comply with the Judge's order. If you believe the Judge did not have all the info to make the correct decision you would have to go back to court.

[AtPeace]

I have yet to meet anyone that understands the tax code. I do know that one has to actually make the payments to get the tax break, so your X is definitely in the wrong. Unfortunately the following must apply:

1. Primary Borrower - Unfortunately that is your X. You have to get it refinanced.
2. Legally Obligated to pay the debt. - That is you.
3. Actually make the payments - Again, that is you.

There may be special circumstances for court ordered payment of debt of which I am unaware. I'll ask my CPA about it, he gave me a really big book on the special tax circumstances involved in divorce, but I have yet to make it to that one. Not that I don't consider it a real page-turner mind you...

Anyway, I'll try to get back to you tomorrow with a better answer.

[livealittle]

since your name is not on the mortgage, you will be hard-pressed to claim the deduction.  The 1098 is issued under the primary borrower's SSN - in this case your x's. 

perhaps you should return to court with this.  did the judge know that your name is not on the mortgage?  or the deed?

I find it hard to believe a judge would knowingly order someone to pay for a house he/she doesn't own and never will own.  Normally, judges order the property sold and the equity divided in some way.

[m_t]

Where does it say she's not on the deed?