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Points on purchase of home are being amortized over life of loan instead of being deducted in full. Turbotax calculating wrong any way to fix this?

 
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Points on purchase of home are being amortized over life of loan instead of being deducted in full. Turbotax calculating wrong any way to fix this?

To deduct the points all at once you have to meet a number of tests:

  • charging points must be common in your local real estate market, and the amount of points charged must be in a typical range for your market
  • must be a new home purchase, not a refinance
  • the amount of cash you brought to the closing must be more than the amount of points charged (you can't deduct them all at once if you borrowed the money to pay them)
  • Points must be shown clearly on your settlement statement

When entering a mortgage (1098), turbotax will ask a series of testing questions, you need to tick the box for this is a new home purchase, I paid points, etc.  It will ask other test questions.

 

Possibly you fail one of the qualification tests, or possibly you answered a testing question incorrectly.  Try revisiting the 1098 and double check your answers, or delete the 1098 and enter it again. 

 

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