I had origingally purchased my residence in 2009, in 2015 I refinanced for $965K, so that would qualify for the $1M ceiling. In 2019 the remaining prncipal was $850K and I refinanced for $1.03M with the full cash out going to improvements.
1. The Pub 936 description of refinance states that "Any additional debt not used to buy, build, or substantially improve a qualified home isn't home acquisition debt." But since the additional debt is used to substantially improve the home, I should still be able to get credit for interest on up to debt of $1M for the refinanced loan?
2. The new mortgage form 1098 has both Loan origination date and Mortgage acquisition date in 2019, is that a problem since it is a refinance? I am not getting the loan interest from this new refinance loan showing up on "Ded Home Mort" form, but it is included in Schedule A line 8a. Do I delete the home loan interest entry and try again, or edit the loan origination dates in the step by step, or ignore the "Ded Home Mort" form?
