Key Points

• Learn how to input Form 1098 mortgage interest into TurboTax.
• Understand the IRS deduction limits for mortgages over $750,000.
• Get insights on state-specific deductions, particularly for California.

Introduction

In this video, the presenter explains how to file mortgage interest using TurboTax, specifically focusing on Form 1098. The discussion includes the IRS deduction limits for mortgages exceeding $750,000, which became effective after December 2017. Learn more about the threshold.

Inputting Information into TurboTax

The process begins by selecting the deductions and credits section in TurboTax. The presenter demonstrates how to upload the Form 1098 and input the necessary information, including the mortgage interest paid. See the upload process.

Understanding Deductions

The video highlights that the mortgage interest deduction is limited due to the mortgage amount exceeding $750,000. The presenter shows how to calculate the allowable deduction, which is reduced from $13,428 to $11,942. Check the deduction calculation.

State-Specific Deductions

For California, the presenter notes that the threshold for mortgage interest deductions is $1 million, allowing for the full deduction of $13,000 in this case. Explore state deductions.

Conclusion

The video wraps up by ensuring that all inputs are accurate and provides a final review of the mortgage interest deductions for both federal and state taxes. Review the final steps.

Comment Summary & Sentiment

The comments reflect a positive sentiment, with viewers expressing gratitude for the guidance and asking additional questions about TurboTax and filing processes. Many appreciate the live stream format for real-time assistance.