Can You Deduct Mortgage Interest on State Income Tax?

by Michael Keenan ; Updated April 19, 2017
Not all states permit you to deduct mortgage interest on your state tax return.

Whether you can write off your mortgage interest on your state income taxes depends on where you live. Some states, like Minnesota, allow you to write off your mortgage interest in the same way you can write it off on your federal return. Other states, like New Jersey, do not allow any deduction for mortgage interest. However, whether your state allows a mortgage interest deduction does not affect your ability to claim the deduction on your federal return.

Connection to Federal Return

In some states, you can claim your mortgage interest -- or any itemized deductions -- on your state tax return only if you itemize your deductions on your federal return. For example, in Kansas, if you don't itemize on your federal return, you can't claim your mortgage interest on your state return, even if it would save you money.

About the Author

Mark Kennan is a writer based in the Kansas City area, specializing in personal finance and business topics. He has been writing since 2009 and has been published by "Quicken," "TurboTax," and "The Motley Fool."

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