topic How do I add a boat loan for mortgage interest deductions? in Deductions & credits

How do I add a boat loan for mortgage interest deductions?

sirk76 — Tue, 02 Mar 2021 01:34:27 GMT

Re: How do I add a boat loan for mortgage interest deductions?

DaveF1006 — Tue, 02 Mar 2021 01:48:55 GMT

Would you clarify? Is this a Houseboat that you live on or used strictly for recreation?

Re: How do I add a boat loan for mortgage interest deductions?

sirk76 — Tue, 02 Mar 2021 02:17:04 GMT

Yes, sorry for not being more specific. This a sailboat that meets the requirements (bed, head and galley) for a second home tax deduction. The question is more specific to the turbo tax interface. How do I add the interest paid on the loan into turbo tax? Thanks! Hope that clarifies my question.

Re: How do I add a boat loan for mortgage interest deductions?

DaveF1006 — Tue, 02 Mar 2021 02:39:09 GMT

Yes, you clarified this beautifully. You may claim an mortgage interest deduction for this if used as a second home according to IRS publication 936.

Go to federal>deductions and credits>your home>Mortgage Interest and Refinancing (Form 1098)
I don't know if you received a 1098 for this from the lender but if not, you may have received paperwork that reported your balances.
As you navigate through the screens, when you come to Let's import your tax info, indicate change how I will enter this form.
Next screen indicate you will type this in yourself.
Next fill in the lender's name.
Answer the question in the next screen and continue
Let's get the details from your 1098 Here is where you will enter the name of the lender, the loan interest amount, the amount of the loan, and what date the loan originated. Keep in mind, I mention loan and not mortgage but in this context, these both mean the same thing.
Answer the questions until you are at the end of the section and you should be good to go.

Re: How do I add a boat loan for mortgage interest deductions?

sirk76 — Tue, 02 Mar 2021 19:44:11 GMT

Thanks for the response. The Form 1098 is where my confusion stemmed from. Do I need an actual 1098 or can I just fill in the information? Wasn't sure if the 1098 was a requirement.

Re: How do I add a boat loan for mortgage interest deductions?

DaveF1006 — Tue, 02 Mar 2021 19:53:30 GMT

No, you do not need an actual 1098. You can use a statement from the lender that has the information necessary to complete that section such as interest, loan balance, and when the loan was originated.

Re: How do I add a boat loan for mortgage interest deductions?

sirk76 — Tue, 02 Mar 2021 19:59:18 GMT

Thanks! Sad thing is I haven't added this deduction for the past 4 years or so.

Re: How do I add a boat loan for mortgage interest deductions?

barbabc4 — Mon, 16 Oct 2023 15:20:41 GMT

I have a letter from the bank, but no 1098 for boat used as second home

Re: How do I add a boat loan for mortgage interest deductions?

DoninGA — Mon, 16 Oct 2023 15:29:34 GMT

@barbabc4 wrote:

I have a letter from the bank, but no 1098 for boat used as second home

If you have the interest paid information for 2022 and the amount of principal outstanding you can still report the interest paid as mortgage interest for a second home.

Click on Federal

Click on Deductions & Credits

Under Your Home

On Mortgage Interest and Refinancing (Form 1098), click on the start button