For a co-op, I receive two 1098 forms every year: A 1098 from the lending institution with whom I took out the mortgage and another 1098 from the Corporation. For the lending institution 1098 form Box 1 (Mortgage Interest) is filled in (meaning a dollar amount greater than 0) and Box 10 (Real Estate) is set at $0.00. It is 110% a secured loan. TurboTax gives me a deduction for that interest. Great.
For the Corporation 1098 form, both Box 1 and 10 are filled in. Box 7 is not checked and Box 8 is blank. If I say this is not a secured loan, TurboTax does not deduct the mortgage interest, but TurboTax does deduct the Real Estate taxes.
The letter I received from the Corporation's accounting firm states: "Tenant-sharedholders in a cooperative housing corporation are permitted to claim a deduction on their 2021 income tax returns for their proportionate share of real estate taxes and interest paid or incurred by the Corporation."
So even though Box 7 is not checked and Box 8 is blank, I'm still thinking it's a secured loan, because the Corporation says the mortgage interest in their 1098 form is tax deductible and, if I tell TurboTax it's not a secured loan, TurboTax says the mortgage interest is not tax deductible. Therefore, it sounds like I should tell TurboTax the loan is secured in order to get the mortgage interest deducted from the Corporation's 1098 form.
Does that make sense? Does it sound like the loan via the Corporation 1098 form is a secured loan?
Thanks for your help in advance.
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Does it sound like the loan via the Corporation 1098 form is a secured loan? Sure is secured.
Does it sound like the loan via the Corporation 1098 form is a secured loan? Sure is secured.
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