Patricia purchased a home on January 1, 2017, for $1,440,000 by making a down payment of $100,000 and financing the remaining $1,340,000 with a loan, secured by the residence, at 6 percent. From 2017 through 2023, Patricia made interest-only payments on the loan each year in the amount of $80,400. What amount of the $80,400 interest expense that Patricia paid during 2023 may she deduct as an itemized deduction? (Assume not married filing separately.)
Multiple Choice
$0
$20,400
$60,000
$80,400