Yes, both of our names are in the mortgage. We split it 50:50 but that’s not the issue. Let’s say the total interest is $10,000. We can deduct $5,000 each but since our mortgage is over $750k, it will be limited. In this example, let’s just say $4,000 is the deductible interest for each of us if the limit considered. The problem now is in my return, the deductible interest is showing as $4,000 but in my brother’s return, it is still $5,000. It should be the same. So, I tried to play around with it, if I click the option saying “I co-own this loan but my SSN is NOT on the 1098”, the full $5,000 is being deducted but if I choose “I co-own this loan and my SSN is on the 1098”, the interest is calculated correctly at $4,000. That is what I find really strange!
