First you want to start your amended return correctly. Use the link below and select 2020 to amend last year's return, then carefully follow the instructions before you begin.
Next, follow the steps below assuming the criteria matches your situation. This should allow you to proceed to complete your amended return if the following statement is true. Add all of the Forms 1098 together to make one entry with the ending mortgage balance of the loan that was the final one in 2020.
- if you have a mortgage debt that is below $750,000, (or $1M for grandfathered debt incurred on or before December 15, 2017) this means all of the mortgage interest would be allowed to be used on your itemized deductions as long as there was no cash taken out that was not used on the home (all borrowed funds were used to buy, build or improve the home).
NOTE: If the amount of your mortgage is more than the cost of the home plus the cost of any substantial improvements, only the debt that isn't more than the cost of the home plus substantial improvements qualifies as home acquisition debt. This means that if 'cash out' proceeds were not used to improve the home they would not be part of home acquisition debt.
Any additional debt not used to buy, build, or substantially improve a qualified home isn't home acquisition debt. TurboTax will calculate the amount of allowed mortgage interest deduction based on your entry or you can choose to make the entries yourself.
Use the following link (and hyperlinks) for more information: Home Mortgage Interest Deduction; Deducting Home Mortgage Interest FAQs
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