True. That's exactly I thought I should do. But IRS was not sent 1098 since the loan was to my disregarded entity for tax purposes LLC, and bank said they are not required to send 1098 to an LLC. I was only using the LLC to hold the property.
Since IRS did not receive the 1098, they think I am over deducting tax interests.
I do my own taxes, but I have audit defense with Turbo Tax. So far, I don't have a good answer from them.
