Voss v. Commissioner
United States Court of Appeals for the Ninth Circuit
796 F.3d 1051 (9th Cir. 2015)
Relevant factsFree
Voss and Sophy (plaintiffs), unmarried co-owners of a house, each claimed mortgage-interest deductions on their separate tax returns, subject to section 163(h)(3)'s $1.1 million debt limit. The IRS treated them as jointly subject to a single $1.1 million limit for the property as a whole, disallowing part of each of their deductions; the tax court agreed with the IRS.
IssueFree
Whether the limit on home-mortgage-interest deductions under section 163(h)(3) of the Internal Revenue Code applies on a per-taxpayer basis.