Problem
On January 2, 2017, the Philips paid $50,000 cash and obtained a $200,000 mortgage to purchase a home. In 2022, they borrowed $15,000 secured by their home and used the cash to add a new room to their residence. That same year, they took out a $5,000 auto loan.
|
The following pertains to interest paid in 2022:
|
|
Mortgage interest
|
$17,000
|
|
Interest on room construction loan
|
1,500
|
|
Auto loan interest
|
500
|
For 2022, how much interest is deductible prior to any itemized deduction limitations?