CALIFORNIA FAMILY LAW
...Income Tax Matters
......Community Property: Assets
.........Interest on Equalizing Notes
3 Cards On This Topic:

Interest paid on note to acquire spouse's share of c/p business or investment property is deductible.

Interest received on an obligation from a former spouse to equalize property division is includable in the income of recipient spouse for federal tax purposes.

Interest paid by H on indebtedness secured by and used to acquire W's interest in H's residence is properly deductible.