HELOC 1098 issues

[mateosbaby]

I received a 1098 for our now-closed HELOC (as of Sept. 2019), but Box 2, Outstanding mortgage principal, was $0. TurboTax isn’t letting it be $0 or $.01. Through various questions posted here, I contacted my bank as advised, and they said it is correct, because as of 12/31/19, the balance was $0. Someone here advised me that this is incorrect; they should have used the balance as of 1/1/2019. So I contacted them again, and my balance then was $0, as well! I had forgotten we didn’t have a balance until we went to fix up the house to sell. I withdrew $12,000 in May 2019, and in Sept 2019, the balance of $33,525.73 was paid off when we sold that house. Do I use the $12,000 for Box 2? Other suggestions?

[Irene2805 · Accepted solution]

For Box 2, use the balance of $33,525.73.  It doesn't affect the calculations in your tax return but allows you to proceed through the screens.

[mateosbaby]

Thank you!!!

[Irene2805]

You're welcome!