Question about total mortgage interest reported on Form 1098?

R

RockFirestorm

Member
I'm doing my taxes on taxact right now - I bought a house at the end of 09, so this is the first time I've had to fill out the mortgage stuff on my taxes - I'm a little confused. It's asking me about mortgage interest paid on form 1098 - I have taken that amount on box 1 of form 1098 and my refund got a lot bigger. I want to make sure this is correct. Again, this is all new to me and it doesn't seem right, I think I'm doing something wrong. Is this a deduction that is applied to my refund?

Not looking for guesses or opinions, just answers from tax professionals. Thank you.
 
C

cardlron

New member
Mortgage interest, along with real estate taxes and other deductions, is a deduction which decreases your taxable income and thus decreases your total tax liability. You don't define what "a lot bigger" means regarding your refund so its hard to judge, but you should generally expect to see an increased refund when you itemize deductions as opposed to taking the standard deduction.
 
J

jlf

New member
Yes - Form 1098 provides the total interest paid during 2010. It's a itemizable deduction - as is property tax paid in 2010.
 
U

Unregistered

Guest
I posted 2009 mortgage interest on my taxes instead of 2010 what is going to happen and what should i do?
 
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