‘Most people understand that interest paid on a home purchase mortgage is deductible, up to $1 million of debt. And that’s true of interest on home equity loans up to $100,000. But less well known is the fact that interest on home equity loans not used to buy, build or improve a home is not deductible under the alternative minimum tax. The rules can become particularly confusing in refinancings, especially multiple ones. To help clarify things, the IRS said last week that interest in multiple refinancings remains “qualified housing interest,â€? which means deductible for the AMT, “to the extent that the amount of the loan is not increased….â€? ‘

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