Question - Gary and Tracy file a joint return for the 2012 tax year. Their adjusted gross income is $65,000. They had net investment income of $9,000. In 2012, they had the following interest expenses.
• Personal credit card interest: $3,000
• Home mortgage interest: $8,000
• Interest paid on qualified education loans: $2,000
• Investment interest (on loans used to buy stocks): $10,000
What is the interest deduction for Gary and Tracy for the 2012 tax year?
$19,000
$8,000
$12,000
$18,000