How do I handle multiple 1098 mortgage forms?

For a refinance

Enter the original loan first

1. Go to the Did you pay any home loans in 2024? screen, and select Yes.
2. Follow the on-screen instructions to enter the details of your original loan.
3. On the Is this 1098 the most recent for your loan? screen, answer No.
4. Answer the remaining on-screen questions about the details of your original loan.

Then enter the 1098 for the new loan

1. On the Your 1098 summary screen, select Add a new 1098.
2. Follow the on-screen instructions to enter the details of your additional 1098.
3. On the Is this 1098 the most recent for this loan screen, answer Yes. This lets us know that we have the most recent loan balance to use for your deduction.
4. On the Let's get some details about this loan screen, answer This loan is a refinance of a previous loan.
5. On the Thanks, we got all your mortgage info screen, select Continue.
6. When you're all done, you'll see both of your forms on the Your 1098 summary screen. You can select Done to finish and file your return.

For a loan that was sold

When a loan is sold to another lender, it’s not the same as a refinance, but you’ll still need to enter each 1098 separately.

Enter the original (sold) loan first

1. Go to the Did you pay any home loans in 2024? screen, and select Yes.
2. Follow the on-screen instructions to enter the details of your original loan.
3. On the Is this 1098 the most recent for your loan? screen, select No.
4. Answer the remaining on-screen questions about the details of your original loan.

Then enter the 1098 for the new loan

1. On the Your 1098 summary screen, select Add a new 1098.
2. Follow the on-screen instructions to enter the details of your additional 1098.
3. On the Is this 1098 the most recent for this loan screen, answer Yes. This lets us know that we have the most recent loan balance to use for your deduction.
4. Answer the remaining on-screen questions about the details of your original loan.
5. When you're all done, you'll see both of your forms on the Your 1098 summary screen. You can select Done to finish and file your return.

To enter Form 1098 for a mortgage loan that was sold or refinanced:

1. Sign in to TurboTax Desktop and start or open your tax return.
2. Select the Federal Taxes tab, then Deductions & Credits.
3. Under Your Home, select Start or Update next to Mortgage Interest, Points, Refinancing, and Insurance. Answer the questions on the screens that follow.
4. When asked about any points paid, check the options that apply. Points info can be found on the closing statement from your lender.
   • Generally, the points can be deducted in the year paid or can be spread (amortized) over the life of your loan. But when you get a new loan, points from the old loan can be deducted in full if amortized. You can also start spreading out the payments of any new points you paid when you refinanced.
5. When asked if this is the most recent 1098 form, answer No.
6. On the Home loans deduction summary, select Add a Lender. Enter the information for the second loan and answer the questions that follow.
7. When asked if this is the most recent 1098 form, answer Yes for the second loan.

If you paid points when you obtained the loan, no matter if it's the original loan or a refinance, you can get a deduction. Generally, this deduction is taken over the life of your loan. But, when you get a new loan, the points you are amortizing from the old loan can be deducted in full. You can also begin amortizing any new points you paid when you refinanced. Make sure to report your points when asked, while submitting your 1098 details.