Definition: The term "are mortgage points tax deductible" typically refers to a situation where an individual or business is claiming that they are entitled to deduct certain expenses from their mortgage payments, in order to reduce the amount of taxes owed by the government. In this context, "tax deductible" means that these expenses are claimed as a credit against income, rather than being paid directly back to the government. This allows taxpayers to reduce their tax liability while still being eligible for tax deductions on certain items. The term "mortgage points" refers to the cost of obtaining a mortgage loan, typically in the form of an upfront security deposit or a lump sum payment that is used to secure the loan. These types of fees are usually deducted from the borrower's monthly mortgage payments as part of the interest rate. So, when someone argues that they should be entitled to deduct mortgage points tax deductible, they are claiming that these expenses are eligible for a deduction, rather than being paid directly back to the government, and therefore reducing their tax liability.

are mortgage points tax deductible