topic Re: Mortgage Interest in Get your taxes done using TurboTax

Mortgage Interest

c130condon — Thu, 07 Feb 2019 23:31:14 GMT

I entered $13,538 in mortgage interest and it only changed my refund by $57. Does that seem correct? Last year it made a bigger change in my refund. My mortgage is several years old, primary residence, under $500,000. Nothings changed. Thanks for the help in advance.

Re: Mortgage Interest

IsabellaG — Fri, 08 Feb 2019 01:41:39 GMT

It could be correct, depending on what the rest of your itemized deductions were. The Standard Deduction for a single person is $12,000 this year, ($24,000 for Married, Filing Joint), and there no longer is a deduction for Personal Exemptions. Itemized deductions may not have the same effect on your refund this year.

Re: Mortgage Interest

NCperson — Fri, 08 Feb 2019 01:42:06 GMT

It is possible

If you are single , then $12,000 is standard so adding interest as noted only reduces taxable income by $1538

There is not enough other detail to determine why it’s only $57 but it is certainly possible

Re: Mortgage Interest

c130condon — Fri, 08 Feb 2019 01:54:37 GMT

Thanks Isabella, Additional information is, married filing Jointly, $24,300 in deductions....

Re: Mortgage Interest

c130condon — Fri, 08 Feb 2019 01:56:28 GMT

Thanks, Additional information is, married filing Jointly, $24,300 in deductions

Re: Mortgage Interest

NCperson — Fri, 08 Feb 2019 13:28:34 GMT

from the addiitonal information, appears that TT was giving you credit for the standard deduction of $24,000 but then when you added the interest of $13,538, your itemized deductions exceeded your standard deduction by only $300, so your taxable income was reduced by that same $300. $57 of tax on $300 is reasonable based on the information provided.