Multiple 1098s

Forum|Forum|5 years ago
February 28, 2021
13 replies
67 views

I refinanced my mortgage in 2020, so I have received two 1098 forms (one from my previous lender, one from my new lender).

In TurboTax, I listed only one 1098 form and followed below instructions to combine the interest and property taxes. I did not list the 1098 from my new lender because I saw no point -- is this the correct way to do it?

If you refinanced last year, you'll need your 1098 from your previous lender and the 1098 from the lender you refinanced with to enter the details for this screen.

Follow these steps to enter your mortgage info:

Gather all of your 1098 forms related to your refinance, e.g. the form from your original lender and the form from your new lender.
Grab a calculator and add the box 1 amount from each form and enter the total in TurboTax as Box 1 Mortgage interest.
Add the box 5 amount from each form and enter the total as Box 5 Mortgage insurance premiums. (If you weren’t required to pay mortgage interest, these boxes will be blank on your forms and you won’t enter anything here.)
Add the property tax paid from each form and enter it next to Property (real estate) taxes paid.
Next, finish adding info for boxes 2, 3, 7, and 11 using the 1098 for the original loan.

You could also have additional 1098 forms because your loan was sold by your lender, or you refinanced multiple times. Just follow the same steps but be sure to include info from all of your forms in your calculations for steps 2-4.

Once you’re done here, hold on to your forms for when we ask about points you paid when you refinanced. Points are a fee you pay to reduce your loan’s interest rate. If you paid points, you’ll see an amount in box 6 of the 1098 for your refinance.

JotikaT2

Employee Tax Expert

No, since your refinance was done through two different lenders, you would need to enter them separately and then indicate the loan that no longer exists was paid off.

Please see the following link for additional information on entering the refinanced mortgage interest expense.

Refinanced mortgage input

Multiple 1098 Forms

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ZKayC

Level 2

I sold a home and paid down the mortgage on primary home, then refinanced the balance on the primary home. The loans were with the same lender. TurboTax deluxe crashes every time after I enter amounts on the screen asking for end of year balances and paid off dates. It crashes whether I enter the data on separate 1098's or in a combined 1098.

Both homes were primary residences. It took a year to sell the first home.

DaveF1006

Level 15

Which lender do you list on the 1098 entry form, do you list the original lender or the new lender you refinanced with? I understand you combine the information, but under which lender and does it even matter?

Thanks!

It really doesn't matter which lender you list because the lender's information does not get reported to the IRS.

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