Skip to main content
March 24, 2021
Question

Refinance and form 1098

  • March 24, 2021
  • 1 reply
  • 0 views

We refinanced our home in 2020, with the same company as the original loan. However, we did not meet the amount of $375,000. Do I still combine the information from both 1098 forms? Also, the refinanced outstanding principal was a little higher than the outstanding principal on the original loan. Which amounts do I use?

 

    1 reply

    March 27, 2021

    combine them for simplicity.

    the deductible portion is the old balance divided by the new balance

     

    over time, the new balance will go down, so that 100% of the interest is deductible,