### Question
Can you define what qualified housing interest means?


### Answer
**Qualified housing interest** is defined as the following in *26 U.S.C. § 56*:

> interest which is qualified residence interest (as defined in section 163(h)(3)) and is paid or accrued during the taxable year on indebtedness which is incurred in acquiring, constructing, or substantially improving any property which—


(A) is the principal residence (within the meaning of section 121) of the taxpayer at the time such interest accrues, or


(B) is a qualified dwelling which is a qualified residence (within the meaning of section 163(h)(4))

#### Citation:
  - *26 U.S.C. § 56*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter A-Determination of Tax Liability > PART VI-ALTERNATIVE MINIMUM TAX**

