Hi!
Issue: I bought my first house and received two 1098 forms due to sell/transfer (not a refinance) of my loan from first mortgage lender bank to another within the same tax year 2022. Turbo Tax calculates the total mortgage interest as reported on 1098 forms and limits it to a value based on $750K cap. However, I doesn't transfer points I paid and reported on my first 1098 form to Schedule A.
Details:
I purchased a new home in Aug 2022 with a mortgage of about $1M with points. I received a 1098 form for the same. This home was sold (not refinanced) by the Lender A to Lender B within two months. Received 2nd 1098 for that from the Lender B.
Lender A 1098 shows correct points $ I paid (Box 6)
Lender B 1098 has the same mortgage origination date (Box 3) as mentioned on Lender A 1098 form Box 3.
Lender B 1098 has the Box 11 with the correct date of mortgage acquisition date when Lender B acquired the mortgage loan from Lender A
Lender B 1098 doesn't show any points (Box 6)
I have put in 1098s in Turbo Tax Desktop version (Home and Biz for Windows) in the same order of the loan. Older 1098 from Lender A first with all details with correct questions not marking it as the latest. Then newer 1098 from Lender B as latest. My tax status is single and itemizing my deductions. Turbo Tax correctly calculates the total Mortgage Interest and limits it down to a right number based on $750,000 loan cap limit for Single taxpayer. However, it doesn't transfer points to schedule A and thus doesn't allow me to take any deduction for the points.
If I show points paid on 2nd 1098 (although I didn't pay any pint to Lender B) and not reported, it reflects it on Schedule A. Similarly, if I changed the order of 1098s in TurboTax from latest (Lender B) as first and then older (Lender A), calculations are different with points transferred to Schedule A. Can you please help resolve this?
