I have been attempting to input my mortgage interest manually on schedule A and it links to the worksheet for schedule A that blocks the interest reported on the 1098 from my lender(s).
I read the message at the bottom of the TurboTax worksheet which states that the Mortgage Insurance Premium has expired and will not carry over to Schedule A. The IRS publication for this is number 936 and is the exact verbiage used under the contents with the heading WHAT'S NEW (Mortgage Insurance Premium has Expired). It appears this worksheet will not allow usage of the INTEREST and points because it's interpreting the Mortgage Interest deduction as a Mortgage INSURANCE PREMIUM deduction. Publication 936 explains how to populate the worksheet and if calculated manually (not using TurboTax) it transfers to Schedule A and is then included in the other credits to see if the standard deduction or the itemized deductions are greater. I found a way of inputting the interest and points within TurboTax which allowed the credits to add up to much greater than the standard deduction and after the error check was completed the tax owed to the IRS changed to a refund.
Could you check with the software writers and make sure they are reading this deduction correctly? I am not attempting to deduct mortgage insurance premiums I am trying to deduct interest paid to the mortgage holder and that is allowed, with limits, in pub. 936. Please get back with me soon and if I have read pub. 936 correctly, revise the software so thousands of taxpayers in my situation don't miss out on this deduction.
