When I refinanced the mortgage for the only residence I own & where I currently live I paid $11,122.61 in points.
Paying this much in points actually saves me a lot more over the life of the mortgage.
I obtained this value of $11,122.61 by searching for the word "Points" within the final version of my refi paperwork in the "Uniform Residential Loan Application" which I signed with the bank that refinanced my mortgage.
"Points paid on the purchase of principal residence" on the 1098 form I received from this lender is blank
So is this value of $11,122.61 the correct value that I put down within the part of the Intuit Turbo Tax website labeled as shown below or do I need to use a different numerical value for this part of the Turto Tax website?
"Tell us about the points you paid
You can get a deduction for the points you paid on your home loan. Learn more
These points may not always appear on your 1098, but will be reported on your Closing Disclosure or HUD-1 as origination charges.
Points only appear on my Closing Disclosure or HUD-1.
Origination charges"
Yes, if that is the amount of points you paid when you refinanced in 2021 and you found the number on your closing documents, then that is the number you will enter in TurboTax as part of the mortgage deduction topic.
Will I be able to continue to list this dollar amount that I paid in points during my 2021 refinance in future tax returns?
If I'm allowed to continue to list this dollar amount that I paid in points during my 2021 refinance in future tax returns will I always list this same exact dollar amount or will I be listing a smaller amount in future tax returns (according to some type of formula or schedule)?
Please clarify.
Generally, the Internal Revenue Service (IRS) allows you to deduct the full amount of your points in the year you pay them. If you do this, you don't need to enter them on future returns.
Click this link for more info on Mortgage Points.