As far as filing taxes goes, claiming a tax deduction for mortgage points is a fairly straightforward process. Mortgage points are considered an itemized deduction and are claimed on Schedule A of Form 1040. Here are the specifics:
- Usually, your lender will send you Form 1098, showing how much you paid in mortgage points and mortgage interest
- Transfer this amount to line 10 of Form 1040 Schedule A
- If any of your points were not included on Form 1098, enter the additional amount you paid on line 12 of Form 1040 Schedule A
Points are also known as origination fees. You will need to return to the mortgage interview section of your return. For a quicker method do the following:
- Go to Personal
- Deductions and Credits
- Your Home
- Mortgage Interest, Refinancing, and Insurance
- follow the prompts to 'Tell us about any points paid to XXXX'
- Continue to the next screen to enter the points that were paid
-follow this link for additional information-
Can I deduct mortgage points?
