Showing posts from January, 2020

2019 IRS Form 1098 - Tips to help you avoid some common mistakes

Lenders across the United States are preparing their IRS Form 1098 Mortgage Interest statements before the January 31 st deadline.   While most of the boxes are pretty obvious, there are a few gotchas on the form that might trip you up. Using Moneylender Professional loan servicing software , the right data will be compiled and filled into the forms, and usually means that printing your 1098s each year will be quick and painless.   If you’re filling out the forms by hand, here’s some important tips: Box 1 – Mortgage Interest Received This number is the sum of the interest from all payments during the 2019 calendar year on the loan and any late fees that were paid by those payments.   Don’t forget to include late fees collected as part of the reported interest on form 1098. Box 2 – Outstanding mortgage principal This is the balance at the beginning of 2019, not at the end.   If the loan was originated or purchased in 2019, enter the opening balance of principal