Business use of your home, excess mortgage interest and excess real estate taxes

[Tennis7983875255]

My 1098 reflects Box 1 mortgage interest = $31,731; Outstanding mortgage=$853,483; Property taxes=$27,194; Insurance paid=$4,279

TurboTax Schedule A indicates Mortgage interest=$25,101 (limited due to >$750,000:

Real Estate taxes = $27,194 and overall limited to $10,000.

My question deals with Line 10 Deductible mortgage interest......should that be $31,731 or $25,101 in the column B Indirect expenses?

Line 16 Excess Mortgage Interest.....$0 or $6,630 in column B Indirect expenses?

Line 11 Real Estate taxes.....$27,194 column B Indirect?

Line 17 Excess Real Estate taxes?

Line 18 Insurance.....$4279 in column B Indirect?

Will any elections in this area impact Schedule A?

[PatriciaV]

No, your Home Office Deduction expenses should not affect Schedule A for deductible mortgage interest and property taxes, other than the allocation based on percentage used for the home office.

The numbers you listed for Form 8829 Indirect Expenses appear to be accurate. Line 10, Deductible Mortgage Interest, should be the same as Schedule A Line 8a, since excess interest is shown on Line 16 (which totals to the amount on Form 1098). There should be no excess Property Taxes on Line 17 because the full amount from Form 1098 appears on Line 11.