Question

I sold property this year (not primary res.) For 90k. I am holding mortgage. 20k down, payments for 10 years. Does this count as investment income to make me lose EIC?

Forum|Forum|1 year ago
March 14, 2025
1 reply
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I recieved after fees 13k this year, buyer has been paying for 6 months. Have 40k into property. My gross income from all other sources is approx 48k. Married with 4 children. Trying to figure if anyway to still claim EIC this year. Thank you.

TurboTax Online

rjs

Part of the mortgage payments that you receive is repayment of the principal, and part is interest. The principal is not income and you do not report it on your tax return. The interest that you receive is investment income. If you don't know how much is principal and how much is interest you need to consult an accountant.

In order to get EIC your investment income has to be $11,600 or less. After you enter all of your income in TurboTax it will tell you whether or not you qualify for EIC.