What do I do with the Mortgage Assistance information on my tax return?
I usually complete my return every year on taxact and it's usually so simple, but this year I received a Mortgage Assistance form and don't know what to do with it. I received some assistance in 2019 for mortgage assistance. I called the IRS number and the options are awful. When I finished pressing the options and narrowed it down they directed me to the website. I couldn't find any info on this topic that can help me. My question is, do I file the info? what will happen if I don't file the info? I didn't see where I can enter the info on taxact, but I did enter my info for my 1098 for the mortgage interest. How and Where do I enter the information for the mortgage assistance? I also called the Mortgage Assistance number and they told me to contact IRS or my tax advisor. I can't get thru the IRS and don't have a tax advisor. Thanks
correction I didn't enter the info for mortgage interest or mortgage assistance.
- StephenWeinsteinLv 77 months ago
If you claim the standard deduction, then you do NOTHING with the mortgage assistance information.
If you itemize deductions, then you have to subtract the amount of interest that was paid with mortgage assistance from the total amount of interest that was paid on your mortgage to see how much you paid with your own money and can deduct. You deduct only the amount that you paid with your own money; you do not deduct what was paid with mortgage assistance.
See the section "Mortgage assistance payments under section 235 of the National Housing Act" in Publication 17 for more information.
- Anonymous7 months ago
Nothing. Mortgage assistance is not taxable income.
If you itemize your deductions, you cannot deduct mortgage interest that was paid with the mortgage assistance funds.