Yes, you're right, gains in USD terms when refinancing a mortgage denominated in another currency are taxable. Interestingly, such gains aren't taxable at the

Yes, you're right, gains in USD terms when refinancing a mortgage denominated in another currency are taxable. Interestingly, such gains aren't taxable at the (usually lower) capital gains tax rate, but they're taxable at the (usually higher) regular income tax rate.