I refinanced my mortgage in 2020, so I have received two 1098 forms (one from my previous lender, one from my new lender).
In TurboTax, I listed only one 1098 form and followed below instructions to combine the interest and property taxes. I did not list the 1098 from my new lender because I saw no point -- is this the correct way to do it?
If you refinanced last year, you'll need your 1098 from your previous lender and the 1098 from the lender you refinanced with to enter the details for this screen.
Follow these steps to enter your mortgage info:
Gather all of your 1098 forms related to your refinance, e.g. the form from your original lender and the form from your new lender.
Grab a calculator and add the box 1 amount from each form and enter the total in TurboTax as Box 1 Mortgage interest.
Add the box 5 amount from each form and enter the total as Box 5 Mortgage insurance premiums. (If you weren’t required to pay mortgage interest, these boxes will be blank on your forms and you won’t enter anything here.)
Add the property tax paid from each form and enter it next to Property (real estate) taxes paid.
Next, finish adding info for boxes 2, 3, 7, and 11 using the 1098 for the original loan.
You could also have additional 1098 forms because your loan was sold by your lender, or you refinanced multiple times. Just follow the same steps but be sure to include info from all of your forms in your calculations for steps 2-4.
Once you’re done here, hold on to your forms for when we ask about points you paid when you refinanced. Points are a fee you pay to reduce your loan’s interest rate. If you paid points, you’ll see an amount in box 6 of the 1098 for your refinance.
