You’re not. It’s some of that mortgage mumbo jumbo stuff we were talking about earlier and we will walk you through it step by step if that’s what it takes. Basically, it has to do with your federal income tax report. Here are the basics:
There are four types of IRS 1098 forms, including one that tells you how much you’ve paid in mortgage interest in the past year. The other forms are used to report charitable donations, tuition expenses, and student loan interest. You’ll receive your 1098 forms in the mail around tax time and use them to prepare your taxes.
A standard Form 1098, or “Mortgage Interest Statement”, is used to report mortgage interest of $600 or more paid to a lender for a mortgage. It will tell you the amount you’ve paid in interest over the past year.
All Form 1098s for the previous year are mailed by January 31st.
Simple FYI: For federal income tax purposes, a mortgage is a loan secured by your main home or second home. It includes, but is not limited to, first and second mortgages, home equity loans, and refinanced mortgages. Consult your tax advisor to learn more about your ability to deduct the interest you have paid to reduce your taxes.