In 2024 I purchased a home for cash and then sold it to my daughter under a mortgage. So I own the mortgage and she repays me principal and interest. I issued her a Form 1098 for the mortgage interest. But I need to record the 1098 as the mortgage interest receiver, not the payer. I cannot figure out how to do this in TurboTax. Does anyone have any advice? TIA.
wages % income tab > Interest and Dividends section. click the link for interest from seller-financed loans
I think I found it. Two questions though....1) As long as I report the interest received and I'm not in the business of issuing mortgages (which I am not), does this mean that I don't need to file a 1096/1098 with the IRS or file anything else through TurboTax? I'm already issuing a 1098 to my daughter so she can report it on her taxes. And 2) I assume this should not be reported as an installment sale? This subject came up elsewhere in my investigation of this topic. Thanks so much for your help.