What is the "mortgage amount" for a HELOC -- the current amount withdrawn, or the maximum amount possible?

[deirdre-shopping]

We have a home equity line of credit with a maximum amount of $150,000 but we've only withdrawn $12,000 for child's college tuition. So that's the amount we've incurred interest on so far. Before I include it on the taxes, I want to make sure it qualifies, and I see there's a rule about not having more than $100,000 in home equity loans.

Also, since we opened this in July 2016, if I put a zero in the 'outstanding as of 1/1/2016' field, then I never indicate the amount, which seems strange. So are partial years handled differently? Thanks for any help you can provide!

[Critter · Accepted solution]

You only have a $12K HELOC  and  you only had to enter the 1/1/16 outstanding balance for the limitation calculation ... that is why the new boxes on the 1098 were instituted ... to make figuring the limitation easier. 

[deirdre-shopping]

Thank you for your help, Critter#2. I wish they'd sent a 1098 for this one, like my main mortgage bank. But since it was a partial year, we didn't cross the threshold of interest where they'll produce a 1098. The same way banks don't send tax forms for regular savings accounts unless you cross some minimal threshold.