Tax Year Prior to 2020: Mortgage Interest not Showing on Schedule A

[sheppardtv]

I was on the phone for an hour with intuit today over this issue.  We found the problem to be that "Were all proceeds of this loan used to buy, build, or substantially improve the taxpayer's home that secures this loan" was checked "NO" on the "Ded Home Mort" form under federal forms.  This was the case even though when stepping through the EasySteps I indicated that all funds were for the home.  I could not change that box on that "Ded Home Mort" form to "Yes." So, we overrode the "Interest paid in 2020" on that form, which was showing "0" to the actual amount [click on that Box, select Edit from main menu and click "Override" - Mac users].  After doing so, I still could not change the X marks in the boxes. So, we exited forms and went back through all of the easy steps for that mortgage deduction.  Then, went back into that form, and I could change the X from "NO" to "YES."  I sent a sanitized file too Intiut so the software team could fix that.  They did not tell me if/when it would be fixed. Other forms that impact this calculation are the "Tax & Int Wks" form and the "Home Inst Wkst." Be sure to check those too.  Hope this helps.

[GregFC]

Ha, seems like the bug still exists and they've fixed the workaround. That is, I can see Does your mortgage interest need to be limited?  but I can't change the flag. I'm also using the Mac desktop version and it was also fine until the review when it decided to disallow all my mortgage interest. 

[GregFC]

This is, I think, the correct answer. However, TurboTax did not explain what it was doing or why. It correctly decided that the mortgage interest should be limited based on the inputs, but it the arbitrarily entered a 0 for the allowed amount. It had all the information needed to compute the correct number, but even just a warning would have been preferable to silently failing. This is most definitely a bug. 

[sheppardtv]

I could not change flag initially either. Had to go through all the forms I mentioned and ensure they are correct.  Do the override. Exit. get back in and attempt to change flag.

[meco1973]

Same with Windows Deluxe version.  Please update this bug so we can efile Federal and State tax returns.

[GSD77]

TurboTax has a note that I found they they KNOW THEY have an issue transferring allowable mortgage interest to Schedule A.  There is a signup to get updates from TurboTax as to timing or when corrected, 

I signed up for notifications today, but I have heard nothing.  A call to TurboTax Resolutions was also without an answer/update on timing for when Mortgage Interest transfer will be fixed.

I am sorry that I do not have the TT link for notification sign-up.

[JG532]

Hello I have the same issue for 2022 Turbotax home and business desktop and the solution you are proposing for 2021 is no longer there

• On the form, scroll to Mortgage Interest Limited Smart Worksheet
• Click on NO to the right of the question, Does your mortgage interest need to be limited (not in the form for 2022)

Please help, Thank you very much

[MichaelG81]

This is a confirmed issue that is actively being resolved. Thank you for your patience. Please click here to sign up for updates when resolved.

@JG532

[GSD77]

TurboTax currently has problem transferring interest from work sheet to Schedule A.  See thread for way to get notification as to when fixed

   See thread for note on how to get notifications.  

If still not calculating properly text back.  Thought they fixed refinancing issue on calculations of deductible imterest.  Had no refunancings or new home purchases in my gilings this year

[PatriciaV]

This experience has been reported and is under investigation. You may sign up for updates here: 

Why isn't my mortgage interest flowing into my Schedule A? Even if this doesn't seem to apply to your situation, the form will be updated in TurboTax when the investigation is complete.

@GSD77 

[jchaulee]

I was able to use the workaround posted earlier.  

Open forms and click on  Tax & Int Wks; scroll down Tax and Interest Deduction Worksheet form to Box titled Mortgage Interest Limited Smart Worksheet; Middle of box after Quick Zoom there is the question - Does your mortgage interest need to be limited?; default was Yes  I had to right click to override  and check No.

Schedule A reflected mortgage Interest paid.

Ran Federal Review and it was clean. Haven't tried to e-file yet.

Hope this helps.

[jbpjr]

I am having the same problem with the Windows version for tax year 2022.  It is not taking the deducitble interest from the worksheet to Schedule A.  What's up with that!!!!????

[GSD77]

If have one mortgage and below limit might want to insert correct amount and enter via override

[PatriciaV]

If you have checked for updates in the TurboTax software, and the work-around posted by jchaule above doesn't resolve this experience for you, you may need to manually enter the amount using Forms Mode. (Note: This is only available in TurboTax for Desktop.)

1. Open your return and click the Forms icon in the TurboTax header.
2. Look for Tax & Int Wks in the left column. Click the form name to open it in the large window.
3. Scroll down below Line 4g to the Mortgage Interest Limited Smart Worksheet.
4. First, confirm that No is checked on the line "Does your mortgage interest need to be limited."
5. Then, enter the amount of allowable interest from Form 1098 on line A2 (the font should be blue).
6. Now open Schedule A and confirm the correct amount of interest appears on line 8a.
   When you are done, click Step-by-Step in the header to return to the main screens and save your return.

If you are using TurboTax Online, your best option is to delete the 1098 you have entered, exit TurboTax, then log in and re-enter Form 1098. Be sure you complete all steps in the 1098 interview, including those after you click "Done" at the bottom of the 1098 summary page.

@jbpjr