Just wondering about the tax treatment for penalty interest. In this case, the property is being sold and the lender will charge penalty interest for breaking the mortgage.
Is the penalty interest tax deductible just like the normal mortgage interest payments? Or does it simply reduce the net sale price.
Any actual cases or expert views appreciated.
Is the penalty interest tax deductible just like the normal mortgage interest payments? Or does it simply reduce the net sale price.
Any actual cases or expert views appreciated.
Comment