I have a tax question. My father in law passed away in 2020 and we inherited his house. We are still in the probate process and we haven't got the house title. However, we have been paying the mortage and interest since we inherited the house. We filed the tax return for deceased person last year. Can we claim the mortgage interest deduction this year on our joint return (even though the 1099 will have my father in law's name)? Really appreciate any help!

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The general course should be an estate is open while everything is figured out. There should be a separate estate bank account that would take care of everything. You can file the 706 and still have an estate open, requiring 1041's for any following years to report ongoing income or take deductions.

If you mean the estate is closed, then the property should have been distributed to someone. They would get the deduction, considering they have a 1098 written out to them. You cannot deduct mortgage interest that you paid for someone on your own return. If the property is still in the estate's "name", then the estate gets the deduction on upcoming 1041 returns.

Since you don't have the title, it's not in your name yet and wasn't for the entirety of 2020/21. The estate should have been paying the mortgage payments and gotten the deductions.

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Is it normal to take 2 years to go through probate?

Oh wow okay good to know for future reference

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