Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
don-hodde
New Member

I rec'd a 1098 that does not show any amount in line 1 or line 2, but shows a refund of overpaid interest in line 4. Turbo Tax does not like 0 in line 2. How do I report?

Also, in Turbo Tax for the 1098 form, there is no place to enter amounts for line 4. The instructions on the form say refer to Pub. 936 or Itemized Deduction Recoveries in Pub. 525.  and that I may need to include this as 'other income' in my 1040, as I may have gotten a credit on itemized deductions in last years return and it was not to be granted. 

In checking my 2017 return, I did not take any deduction for this interest in 2017.  I think it was because I was accumulating interest expense against a loan but if I paid off within 6 months, the interest would be refunded. But I never claimed it as a deduction anyway. 

So how do I report this 1098, or should i not report it on my 2018 tax return?

1 Best answer

Accepted Solutions
KrisD
Intuit Alumni

I rec'd a 1098 that does not show any amount in line 1 or line 2, but shows a refund of overpaid interest in line 4. Turbo Tax does not like 0 in line 2. How do I report?

If you did not use the interest on your 2017 tax return, save it with your tax file but do not report it. 

If, for some reason, this does draw a red flag with the IRS, they will match it to your 2017 return. If you never claimed it as a deduction, you don't claim it as income or a recaptured credit. 

View solution in original post

2 Replies
KrisD
Intuit Alumni

I rec'd a 1098 that does not show any amount in line 1 or line 2, but shows a refund of overpaid interest in line 4. Turbo Tax does not like 0 in line 2. How do I report?

If you did not use the interest on your 2017 tax return, save it with your tax file but do not report it. 

If, for some reason, this does draw a red flag with the IRS, they will match it to your 2017 return. If you never claimed it as a deduction, you don't claim it as income or a recaptured credit. 

View solution in original post

don-hodde
New Member

I rec'd a 1098 that does not show any amount in line 1 or line 2, but shows a refund of overpaid interest in line 4. Turbo Tax does not like 0 in line 2. How do I report?

This is how I was thinking about it.  Thanks.
Dynamic AdsDynamic Ads
Privacy Settings
v