### Question
How is the "qualified residence interest" defined?


### Answer
The term **qualified residence interest** is defined in *26 U.S.C. § 163* as follows -

> any interest which is paid or accrued during the taxable year on—



(i) acquisition indebtedness with respect to any qualified residence of the taxpayer, or



(ii) home equity indebtedness with respect to any qualified residence of the taxpayer

#### Citation:
  - *26 U.S.C. § 163*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter B-Computation of Taxable Income > PART VI-ITEMIZED DEDUCTIONS FOR INDIVIDUALS AND CORPORATIONS**

