When entering 1098 info for my HELOC, TurboTax will not accept 0 as the outstanding balance (box 2) at the end of 2022. I paid the balance down to 0. How do I get past

Forum|Forum|3 years ago
February 10, 2023
2 replies
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When entering this lender, TurboTax did not as if it was a HELOC, .bit it did ask when entering my first mortgage

TurboTax Online

JohnW152

Go back into TurboTax, delete this HELOC mortgage information, and re-enter.

To delete and re-enter mortgage interest (Form 1098) in TurboTax Online:

If you don’t see 2022 TAXES in the left pane, scroll down and select the dropdown to the right of Deductions & Credits and select Let’s get started, Pick up where you left off, or Review/Edit.
- Otherwise, in the left pane, select the dropdown to the right of Federal, then select Deductions & Credits
On the Your tax breaks page, scroll down and select the Show more dropdown to the right of Your Home
On the Here’s your 1098 info page, select the trashcan to the right of the relevant mortgage item
Select Yes in the popup Are you sure you want to delete this 1098?
On the Here’s your 1098 info page, select the Add another 1098 box

From there, you should be able to re-enter your information.

mcandalorAuthor

I should have mentioned that I am using the desktop version of TurboTax. I tried deleting all the information and starting again. Also tried entering my HELOC account first. Still won't take "0" as the remaining principal. To get past it, I entered "1".

JohnW152

There really should be an amount in Box 2, since that's supposed to reflect the outstanding principal on the mortgage as of the beginning of the calendar year -- that is, January 1, 2022.

It would probably be a good idea to contact your financial institution and see what they have on file as the balance as of the beginning of 2022. They should be able to provide this information.

If the mortgage originated in 2022, Box 2 shows the mortgage principal as of the date of origination. If the recipient/lender acquired the loan in 2022, Box 2 shows the mortgage principal as of the date of acquisition.

See the instructions on the back of Form 1098 for more information.

AliciaP1

Since it is a HELOC and your 1/1/22 balance was $0, you should use the amount of the first draw you made in 2022 as the outstanding balance instead of $0 when entering into TurboTax.

@mcandalor

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