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Second Home Mortgage Interest

I bought a second home in December 2021. I entered my primary home interest and the corresponding tax deduction seemed appropriate. When I entered the interest paid on my second home. My taxes owed increased. In fact, they increased by twice the second home interest I paid. I don't understand what's happening?
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2 Replies
Cynthiad66
Expert Alumni

Second Home Mortgage Interest

Entering a second mortgage should not reduce your refund.  Remove that entry and try again.

 

You can deduct mortgage interest on a second home as an itemized deduction if it meets all the requirements for deducting mortgage interest.

 

If you have multiple 1098 mortgage forms, you’ll enter them one at a time. After going through the steps with the first one, you can add a lender when you get to the Mortgage deduction summary screen. (In the case of a refinance, the steps may be different depending on your total amount of home debt. Refer to this article for more information.)

 

But, if they're both from the same lender, and one of them has the “Corrected” checkbox marked at the top, enter the corrected 1098 and discard or shred the other one.

 

If the problem still persists, you may need to clear your cookies, history, cache' and reboot.  Follow these steps.

 

Cookies are small files that temporarily store data on your computer. We use them to personalize your experience so you see information you already entered and not items that are irrelevant or repetitive.

On rare occasions, they may make your browser think you already did something that you still need to do. To fix that, you'll need to delete (clear) the cookies from your browser.

Each browser has a slightly different method for deleting cookies. Choose the browser you're using:

 

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Second Home Mortgage Interest

Did you misread, and perhaps your Taxes Due are what decreased?  Did you rent out the second home?

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