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Deductions & credits
@hihappy2001 - I would suggest separating the issue of a) how much can I deduct from b) how do i get the answer into TT.
on the first issue: hate to burst your bubble, but the 'average loan balance' is not a two point average.
for each mortgage you hold that average is the interest on THAT mortgage divided by its interest rate.
Sum those results together and that is the 'average loan balance'.
(it will slightly matter even on the paid off mortgage, unless you paid it off on December 31; big impact on the newer mortgage since you did not borrow until August)
https://www.irs.gov/pub/irs-pdf/p936.pdf
look at page 13 and the middle top of the page.
start there.
you really only have two mortgages; selling a mortgage from one servicer to another doesn't constitute a different mortgage
calculate as the IRS suggests and then run through the worksheet on page 12. Then you will know what is deductible.
With that solved, you can enter the result in TT as one 1098; I would save your worksheet and calculations should you ever get audited