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Level 2
posted Sep 2, 2019 1:43:33 PM

I'm working on my 2018 tax return. I paid off my mortgage early in 2019... Do I need to enter anything into TT / on my 2018 tax return if it was paid off in 2019? Thanks!

I paid off my mortgage early in 2019. There was no early payment penalty, but there was a $47 Recording Fee (in addition, of course, to the principal and accrued interest).
I thought I saw TT asking whether the mortgage has been paid off.  
Do I need to indicate anywhere on my 2018 tax return, or change my responses in TT -- or is the payoff only relevant to my 2019 tax return?
Thanks

0 3 900
1 Best answer
Level 15
Sep 2, 2019 1:53:46 PM

Nothing you did in 2019 belongs on your

2018

tax return.  Enter only the information relevant to your mortgage in 2018 on a 2018 tax return.  If you have anything about your mortgage for 2019 to enter you will do that when you prepare your 2019 tax return--in early 2020.

 

Also--paying off your mortgage will not be relevant.  There is no deduction for paying off the loan.  Only interest paid on the mortgage would be deductible.

3 Replies
Level 15
Sep 2, 2019 1:51:03 PM

Since the mortgage was not paid off until tax year 2019 there is nothing for you to indicate on the 2018 tax return concerning a mortgage payoff.

Level 15
Sep 2, 2019 1:53:46 PM

Nothing you did in 2019 belongs on your

2018

tax return.  Enter only the information relevant to your mortgage in 2018 on a 2018 tax return.  If you have anything about your mortgage for 2019 to enter you will do that when you prepare your 2019 tax return--in early 2020.

 

Also--paying off your mortgage will not be relevant.  There is no deduction for paying off the loan.  Only interest paid on the mortgage would be deductible.

Level 2
Sep 2, 2019 2:18:31 PM

Thank you both very much for the info/guidance.