topic Multiple 1098s in Deductions & credits

Multiple 1098s

LMM25 — Mon, 01 Feb 2021 16:27:52 GMT

Our only mortgage was sold to another company in March 2020. We sold that house in April 2020 and purchased a new one. The originator of the new home's loan sold it to another company in June 2020, so we have four 1098s to deal with. We only own the one home. How do I properly enter this so I don't get dinged with the $750k limit, which neither mortgage came close to meeting?

Re: Multiple 1098s

slj7dg — Tue, 02 Feb 2021 00:00:06 GMT

I'm having the same problem, watching this space for a solution.

Re: Multiple 1098s

Mr Youssef — Tue, 02 Feb 2021 00:23:30 GMT

Same situation?

Re: Multiple 1098s

ReneeM7122 — Wed, 03 Feb 2021 15:41:23 GMT

You can enter multiple 1098s from different banks for a single property. Enter them one at a time. After going through the interview steps with the first lender, you can add the second, third, and fourth ones when you get to the Mortgage deduction summary screen. It's best to enter the 1098 from your original loan before the others. This will help the software to recognize the original loan, record the origin date, and prevent it from lumping the others amounts together and causing you to reach the $750,000 limit, which would be incorrect.

That's important because [only] the acquisition debt remains deductible. The loan origination date section should present itself correctly when the software recognizes that you've entered multiple 1098 forms.

Here's how to enter your mortgage interest statement in TurboTax:

With your return open, search for 1098 and select the Jump to link in the search results.
Follow the instructions to enter your 1098 info.

@LMM25

Re: Multiple 1098s

pejid1 — Wed, 03 Feb 2021 19:17:46 GMT

I have a loan that was refinanced last year. I enter the information fort his loan. Do I say is is a refinance?

Then I refinanced my mortgage in May. Is this my new mortgage origination date. to further complicate my problem the mortgage was given to 2 more lenders. I am unable to get my interest deduction.

Re: Multiple 1098s

JotikaT2 — Wed, 03 Feb 2021 19:54:24 GMT

Yes, if you refinanced your loan in 2020, you will need to select yes indicating it was refinanced. You will then see the following screen titled Was this loan paid off or refinanced with a different lender? Answer this question as it applies to the loan you are entering.

Be sure that you have entered $0 for the loan that was paid off in Box 2 - Outstanding mortgage principal on the screen titled Let's get the details from your Home loan 1098.

Please comment if you are still having issues after confirming your input as shown above.

Re: Multiple 1098s

slj7dg — Wed, 03 Feb 2021 22:11:26 GMT

In my case, my loan was sold halfway through the year. I did not refinance but I have two separate 1098s from two banks. None of these tips are working for me because the software is adding my mortgage together to put me over the $750,000 mortgage cap when I should not be anywhere close.

Re: Multiple 1098s

DaveF1006 — Wed, 03 Feb 2021 22:21:08 GMT

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