The longest deduction period is no more than 240 months, and taxpayers can only enjoy the first home loan interest deduction once. As agreed by both husband and wife, one of them can choose to deduct, and the specific deduction method cannot be changed within a tax year. The first housing loan refers to the housing loan that enjoys the interest rate of the first housing loan when buying a house. Mortgage tax returns, that is, housing loans, can enjoy special deductions.
The so-called mortgage deduction tax means that when calculating personal income tax, groups with unpaid mortgages can deduct mortgage interest first, and then take the remaining income as taxable income. The mortgage deduction of individual tax is not directly deducted from the mortgage interest and individual tax, but takes the mortgage interest as a pre-tax deduction, and makes a special deduction first, just like five insurances and one gold, and then calculates the individual tax. Moreover, at present, the method of fixed deduction is adopted, which means that no matter how much mortgage you need to repay every month, the amount deducted by everyone is 1000 yuan.
Mortgage, also known as house mortgage. Mortgage means that the buyer fills in the mortgage loan application form to the bank and provides legal documents such as ID card, income certificate, house sales contract and guarantee letter. The bank promises to grant loans to the buyer after passing the examination, and handle the registration and notarization of real estate mortgage according to the house sales contract provided by the buyer and the mortgage loan contract concluded between the bank and the buyer. The bank directly transfers the loan funds to the seller's account within the time limit stipulated in the contract.
Legal basis:
Article 14 of the Interim Measures for Special Additional Deduction of Individual Income Tax
If taxpayers or their spouses use individual housing loans from commercial banks or housing accumulation funds alone or jointly to purchase housing for themselves or their spouses in China, the interest expenses incurred in the first housing loan shall be deducted according to the standard quota of 1 000 yuan per month in the year when the loan interest actually occurred, and the maximum deduction period shall not exceed 240 months. Taxpayers can only enjoy a first home loan interest deduction. The term "first home loan" as mentioned in these Measures refers to the housing loan that enjoys the interest rate of the first home loan when buying a house.