Taxes on owner occupied seller financing

[Mike Flora]

Have an owner occupied deal working where seller has lived in property over 2 years, which makes her tax exempt, but want to do small amount money down, principal only payments and balloon payment at 6 years of remaining balance. Question is all payments over this time period tax free to my seller??? I would ask my CPA but it's Sunday and want an answer now lol. This deal is in California as well.