Bill > HR2563

This bill, titled the "Ending Taxpayer Subsidies for Yachts Act," amends the Internal Revenue Code of 1986 to restrict the mortgage interest deduction for boats. Previously, taxpayers could deduct interest paid on loans for certain types of property, including boats, if they were considered qualified residences. This bill clarifies that the mortgage interest deduction for a boat will only be allowed if that boat is used as the taxpayer's principal residence, meaning their primary home. This change applies to any debt incurred after the bill becomes law, with a special rule for refinancings to ensure the deduction limit isn't exceeded.