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March 8, 2022
Question

Does TurboTax have a place to enter 1099-int from mortgage lender?

  • March 8, 2022
  • 1 reply
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Seems it defaults to wanting to import info from a Bank or Investment firm.

1 reply

March 8, 2022

Yes.  

 

To enter a Form 1099-INT in TurboTax online program, go to:

  1. Sign into your account, select Take me to my return.
  2. In the upper right corner, in the search box, type in 1099int.
  3. Select Jump to 1099int.
  4. On screen, Did you receive any interest income? answer Yes to continue.

Or

 

On the import screen, it should give you the option to "Type Myself"

 

When you receive a 1099-INT, you’ll need to understand what each box of the form is reporting, so that you can report your interest on the appropriate lines of your tax return:

  • Box 1 of the 1099-INT reports all taxable interest you receive, such as your earnings from a savings account.
  • Box 2 reports interest penalties you’re charged for withdrawing money from an account before the maturity date.
  • Box 3 reports interest earned on U.S. savings bonds or Treasury notes, bills or bonds. However, some of this may be tax-exempt.
  • Box 4 reports any federal tax withheld on your interest income by the payer.
  • Box 8 relates to interest-bearing investments you hold with state and local governments, such as municipal bonds.

Reporting 1099-INT information

 

All amounts reported in box 1 must be reported on the “taxable interest” line of your tax return and are taxed in the same way as the other income you report on the return.

 

For the penalty amounts reported in box 2, you may be able to take a deduction in the “adjusted gross income” section of your return.

 

Although the tax-exempt interest reported in box 8 of the 1099-INT isn’t taxable, you still must report it on the “tax-exempt interest” line of your tax return for informational purposes.

 

It is also important to report all federal tax withheld reported in box 4 in the “payments” section of your return. Doing so will either reduce the amount of tax you’ll owe with your return or will increase your refund.  @Suterflash

 

 

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