Deductions & credits

Hi Asiddiqi7861

I have the same exact situation as you.

this is what i did.  I have the download version of TT and I used Mac Air laptop.  and it worked for me.

 

-I read the IRS publication 936

-I calculated my interest deduction amount

-I "overide" the "deductible home mortgage interest worksheet" by entered my own numbers i got from my calculation.

-Then I filled out the questions in TT for 1098s exactly the way it is reported to the IRS (on the forms I received)

 

TO calculate my interest deduction amount

*add the beginning loan amount to the ending loan amount 

*divide the result by 2--this is your resumed average balance  (normally you can stop here if you only have one mortgage loan)

Do the same calculation for each loan (original and refinanced )

 

*take this resumed average balance result and multiply by the number of months you have for each loan --

*Add results for loan 1 and loan 2 and divide the result by 12 (months)--- this is your weighed average balance  (assuming that you only have one loan per month and you have a loan for each of the 12 months last year)

 

Next I calculate the Qualified loan limit

*if your weighed average balance is less than 750K, you are done,  you can deduct the entire amount of interest you paid.  Check the box that says you don't need to limit your interest amount

* if it is greater than 750K , you can follow the instruction on the bottom part for the worksheet.  straight forward math calculation.  

*divide 750K by your average balance to get a decimal point

*multiply the interest you paid by this decimal point-- this is how much you can deduct.

 

Now to override TT form

* look at the APPLE tool bar across the top left hand corner of your laptop (not TT tool bar)

* click on "view"

*click on "open form"

*look on the drop down list and find "ded home mortgage interest worksheet" (note you won't be able to see the whole name,  just "ded home mort"  I think. 

*open the form-- put your cursor at the box where you want to enter your number, then click on "edit" on the APPLE tool bar.

*click on "override" to enter your number

*move your cursor to the next box.  If you are unable to enter your number, repeat the clicking "edit" then "override"  sometimes i can enter a few boxes at a time before I need to click edit and override, sometimes i had to click it for each box.  If it doesn't work, try right click. 

 

You need to search for the same form under the state forms and repeat the same procedure.  

 

It worked for me.  I already filed my tax return with no problem

Good luck!