Turbotax was updated to allow the deduction for mortgage insurance premiums as of February 22, 2018. It's included in the entry for mortgage interest.
Remember that the usual rules still apply: there are income limits, and pre-paid lump sum amounts must be spread out over 84 months, you can only deduct the number of months worth that you paid in 2017. (Up front lump sum amounts for the VA funding fee and Rural Housing Authority are fully deductible, and monthly premiums are fully deductible.)
Also, because the deduction expired at the end of 2016 and was not renewed until 2018, many banks did not report mortgage insurance on their 1098 forms. If you don't know your PMI or MIP amount, contact your mortgage lender.
No, but there is an extender bill in Congress. So far no PMI deduction has been voted on.
No it has not been renewed. Nothing has happened one way or the other.
What happens if I do my taxes without this deduction, then Congress renews it? How do I handle that?
This late with the 2017 tax season in full swing, it is highly doubtful this deduction will ever be renewed for tax year 2017.
TurboTax would update their software if it ever was renewed and then you would have to file an amended tax return for 2017.
Well RATS!.... I've still contacted all my Congressman and the House and Ways Committee. H.R.109-Mortgage Insurance Tax Deduction Act of 2017 was introduced Jan 3, 2017 and is still sitting out there waiting... I don't give it much hope, but worth a shot to contact your Congressman about it. Maybe they'll do it for this last year. Thanks for the answer
I heard it was recently extended for 2017 tax season. When will TurboTax update software so I can complete my amendment?
BIPARTISAN BUDGET ACT OF 2018 <a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/4241639">https://ttlc.intuit.com/questions/4241639</a>
We really do not know how long it might take for the IRS and all of the tax prep software to be changed for this. The changes that must be made are quite complicated. You choices right now are messy—either wait for the changes to take place at the IRS and in the software, or file now and amend later.
is it a guarantee that these changes will at the IRS and in the Turbo tax software will be completed before April 15th? If not, then I'll file now and amend later, but if this something that has to be completed by prior to April 15th then waiting to file seems reasonable. Any ideas on timing?
I just received a letter from my bank today stating they had to supply me this amount as a new tax form since it was not included on Box 5 of my original statement so I'm assuming that means it was now approved for the 2017 Tax year. I already filed so I have to do a ammendment now..
BIPARTISAN BUDGET ACT OF 2018 <a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/questions/4241639">https://ttlc.intuit.com/questions/4241639</a>
We really do not know how long it might take for the IRS and all of the tax prep software to be changed for this. The changes that must be made are quite complicated. Sorry we cannot be more definitive.
2017 PMI is deductible, when/how can we be notified when the software update takes this into account?
I paid PMI in 2017 and already submitted my taxes through the Deluxe online version but the amount had not been asked for at the time. What is the cost had how do I go about filing amended taxes?
Amending is free, the instructions are here. Make sure to wait until your first tax return is processed and the refund is paid, before you file the amended return. Amend <a rel="nofollow" target="_blank" href="https://ttlc.intuit.com/replies/3288565">https://ttlc.intuit.com/replies/3288565</a>
Turbotax was updated to allow the deduction for mortgage insurance premiums as of February 22, 2018. It's included in the entry for mortgage interest.
Remember that the usual rules still apply: there are income limits, and pre-paid lump sum amounts must be spread out over 84 months, you can only deduct the number of months worth that you paid in 2017. (Up front lump sum amounts for the VA funding fee and Rural Housing Authority are fully deductible, and monthly premiums are fully deductible.)
Also, because the deduction expired at the end of 2016 and was not renewed until 2018, many banks did not report mortgage insurance on their 1098 forms. If you don't know your PMI or MIP amount, contact your mortgage lender.
Today is Feb. 24, 2018 and I still cannot find PMI deduction after updating my Turbotax software. Above it states "It's included in the entry for mortgage interest." I clicked on that section and no where is there a spot to add it in. PLEASE HELP!
Deductions and credits, Mortgage. Or enter pmi in the search topics box.
If you enter a 1098, the first screen is the mortgage interest, then continue, the next screen allows you to enter boxes 2-5 (date of mortgage, balance, property taxes and MIP.) If you don't see MIP on this page, then your program probably did not update. You may need to uninstall, reinstall and re-update.
I entered in my PMI in section 5 and it did not affect my refund. Why?
@nipper404 are you affected by the income phase-out? The PMI deduction is phased out beginning at $100K gross income (50K for married filing separately) and is eliminated above $110K income ($55K MFS).
@Opus 17 Yes that was the issue. Gross income was above $110K.
Is this just extended for 2017? Does anyone know if this is a permanent bill that I could deduct in the coming years?