JohnB5677
Expert Alumni

Deductions & credits

Prepaid interest (commonly referred to as points) is deductible when you enter your 1098. 

 

If it is included on your 1098 it will be in Box 6.  If it doesn't show there you can add it from your closing statement.

 

Points are typically amortized over the life of the loan.  So they will be allocated in small amounts for multiple years.  There will be interview questions that will lead you through the process. 

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