DianeC958
Expert Alumni

Deductions & credits

For the two loans that originated in 2019 the amount for Box 2 is $0. With the two new loans there was not a principal balance on 1/1/2019 which is the information in box 2 should be.

 

If you refinanced your house and took out additional money the full amount of the interest is still tax-deductible as long as the funds were used to improve the house.  If any additional money was withdrawn and used to pay other debt or for other personal reasons then the interest paid on that portion of the loan is not tax-deductible.

 

Link to Deducting Mortgage Interest

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