All Things Tax

All Things Tax

Like the title says, from the filing process and tax questions to tax policy and reform, you can search and share All Things Tax here. This is the place to find answers to all your general questions that don't fall under the other categories. And just a reminder: questions about software or online filing should be posted in DIY Products.

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Pioneer
Posts: 1
Registered: ‎05-11-2017
Accepted Solution

1098 confusion

In 2016 I got a home loan refinanced with the VA. The loan originator sold the loan. I received two 1098s. One from loan originator and one from new servicing company. Both 1098 forms had the $6600 VA funding fee listed in box 5 as mortgage insurance. I knew I could only claim it once, so I used the new loan servicing 1098 to calm box 5. It was fully deductible.
I just received a letter in the mail today, (a month past tax deadline) telling me that the new loan servicer was amending the 1098 and has changed box 5 from $6600 to $0.
I have no idea what I need to do, if anything. Please advise.
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Tax Pro
Posts: 5,275
Registered: ‎02-23-2016

Re: 1098 confusion

Hi Missandree,

 

Welcome to the H&R Block community.

 

You actually do not need to do anything.  Because the $6,600 was reported on other 1098 as well and that 1098 was reported correctly, and because you paid the insurance premium, you correctly deducted your mortgage insurance.  Therefore the change to the 1098 from the new loan servicing company will not affect your tax return.

 

If you have any other questions I'll be glad to help.

 

Louis,

Senior Tax Advisor (Tampa, FL)