The full amount of my mortgage interest of $3126 is not reflected in the total itemized deductions. It only reflects $745. Where can this be corrected?

[maureen-tatsch]

Using the total amount would put me in the category of itemizing instead of taking the standard deduction.

[Cynthiad66]

There is a known problem with Home Mortgage Deduction.  TurboTax is working to fix the problem and the many other issues. There are many changes due to the CARES Act that require software upgrades.  We have not been given an  expected date for the fix yet.  Please check back often to see if you can file your return.

OR

In the meantime, you can try this work around.  You did not provide the details of your Mortgage situation and therefore I am giving you a general work around that might help.  Please try this.

If there is a refi and there was an outstanding mortgage principal listed in both of them on Line 2 on the 1098. When you do put an outstanding balance in both forms, then the program adds them together and if that number is greater than $750k, then it puts you in the category to "limit interest". To get that to go away, you need to go back to the deductions section and click on "edit" mortgage interest statement. Change the line 2 of the mortgage that you no longer owe on (like the one that you refinanced and paid off) to a 0 (zero) because you have refinanced out of that loan and no longer have an "outstanding mortgage principal". Once you change one of them to zero (the one that was paid off by the refinance) then it should no longer pop up with that error at the end when you go to file. 

[maureen-tatsch]

Thank you for your suggestion, but there is no mortgage refinancing involved in my question.  When the software is upgraded and the problem with the Home Mortgage Deduction is fixed, will I see that it automatically looks at the total amount of my mortgage interest instead of having it as a reduced amount?  If so, when the software uses the full amount of my mortgage interest, I expect to see that it will allow me to itemize my deductions instead of using the standard deduction.

[DaveF1006]

How many 1098's do you have and if there are more than one, did one 1098 replace the other?

[maureen-tatsch]

I have only one 1098.

[WendyN2]

If you imported your 1098 information and feel there is an error, I definitely would suggest that you delete out the imported version and manually type in the information directly from your 1098. This year we (not just TurboTax but many tax prep software programs) are seeing a lot of discrepancies in what is actually on the 1098 versus what is getting imported into the tax software. This could be due to a number of factors, but from what I have been hearing it is mostly due to financial institutions trying to keep up with the changing requirements of the IRS and their electronic versions of the forms. It is a little more work, but unfortunately it is the best way to ensure your information is being transmitted by TurboTax to the IRS correctly. 

[maureen-tatsch]

I didn't import my 1098...I already manually typed in the amount.  The amount I manually entered is $3126, but on my Schedule A, it is listed as $745.

[ThomasM125]

If you rent out a portion of your home, or have a home office, some of the mortgage interest may be allocated to those things, which would reduce your mortgage interest deduction for your itemized deductions.

[maureen-tatsch]

I reviewed the information I manually entered from my 1098 and discovered a number that was entered incorrectly.  The tax return now shows that the itemized deduction is larger than the standard deduction; however, the "ticker" at the top of the page is not changing the amount of my refund.  Even when I have the system check the return, it's not changing the amount of the refund.  I have told the system that I want to use the itemized deduction.  Is there a way to see a copy of the return that will be filed before actually filing it so I can see if it is correct?

[ReneeM7122]

Yes, you can preview your 1040.  

Click on Tax Tools on the left side of the screen. Click on Tools. Click on View Tax Summary. Click on Preview my 1040 on the left side of the screen.

[maureen-tatsch]

Thank you for that information.  I can preview my tax summary and see that it is still pulling in the standard deduction instead of the itemized deduction.  Is there a way to fix that?  When I look at the section where it allows you to change your deduction, the itemized deduction is selected, but it's not reflecting it on the 1040.

[ReneeM7122]

You can change from standard deduction to itemized and vice versa.

TurboTax automatically selects the deduction that gives you the best outcome on your federal taxes. Most 2020 federal tax filers will be better off with the standard deduction versus the itemized deduction.

You can always switch to a different deduction. However, if you and your spouse are filing separate federal returns, both of you must take the same deduction per IRS rules.

Tip: It's best to hold off on switching until after you've finished going through the Deductions & Credits section. That way you can get an accurate picture of how both deductions affect your bottom line. Also, keep in mind that switching to the other federal deduction may impact your state tax return.

TurboTax Online instructions

TurboTax CD/Download instructions

What about my state?

Related Information:

• How does the Standard Deduction differ from itemizing deductions?
• What's my standard deduction for 2020?
• Can I still itemize my deductions?

[maureen-tatsch]

I qualify for the itemized deduction. I have switched back and forth from choosing the standard deduction and using the itemized deduction, but Schedule A still keeps pulling in the standard deduction.  Do I need to clear the whole thing and start over for it to pull in the itemized deduction correctly?

[AmyC]

If you know that your mortgage, property tax, state tax, charity and maybe a few other things add up to more than the standard deduction for you, you want to go that route. Make sure that the program is not marked that you want to take the standard deduction regardless of the consequences. MFS must choose the same standard or itemized for both, so the option exists.

You stated that you have gone back and forth a few times. You may have gotten a piece of data stuck. Try as many steps as needed. 

1. Delete the form:
   1. How to Delete  Log out of your return
   2. Try one or more of the following:
      • Don't use Internet Explorer.
      • Clear cache and cookies,
      • Sign in using a different browser.
      • Sign in using a different device.
   3. Log back into your return.
   4. Enter the form again.

[maureen-tatsch]

I deleted and re-entered the mortgage interest form, and it did not change the amount of the refund; however, I think I might have discovered what might be happening.  I already submitted payment for my 1040 before I realized that I had an error in the 1098 information that I manually entered.  Any change that I am making is not being reflected because I have already submitted payment to Intuit?