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#2160049 - 01/10/18 06:03 PM 1098 Question
HRH Okie Banker Offline
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Posts: 2985
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1098 box 7 & 8 - why does the IRS want to know if the property securing the loan is the same as the payer's/borrower's address? Anyone know?

"Box 7. If the address of the property securing the mortgage is the same as the payer's/borrower's, either the box has been checked, or box 8 has been completed.

Box 8. This is the address or description of the property securing the mortgage."

I think ours printed out wrong because of the way we are using our system. I assume because this is our government that I'm going to have to fix a gazillion forms before they can be mailed out?
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#2160051 - 01/10/18 06:33 PM Re: 1098 Question [Re: HRH Okie Banker]
rlcarey Online
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Because they may be using that to determine if the property is a primary residence.
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#2160054 - 01/10/18 06:44 PM Re: 1098 Question [Re: HRH Okie Banker]
HRH Okie Banker Offline
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Thank you. I've already started on cleanup. I couldn't stand them not being right.
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#2160416 - 01/12/18 04:57 PM Re: 1098 Question [Re: HRH Okie Banker]
John Burnett Offline

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They are also providing a way to show the property securing the loan if the borrower uses a P O Box address.
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#2160419 - 01/12/18 05:00 PM Re: 1098 Question [Re: HRH Okie Banker]
rlcarey Online
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John, That is probably the real reason. Not sure why I didn't think of that. Old age is getting the better of me, I suppose smile
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#2160590 - 01/16/18 02:17 PM Re: 1098 Question [Re: HRH Okie Banker]
John Burnett Offline

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If old is age is getting the better of you, Randy, it's already gotten the worst of me.
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#2160935 - 01/18/18 03:13 PM Re: 1098 Question [Re: HRH Okie Banker]
Mel in WA Offline
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Another related 1098 question.....it has come to my attention that mortgage insurance premiums are not deductible for 2017. Does the bank still need to report/include MIPs on the 1098?

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#2160994 - 01/19/18 08:36 AM Re: 1098 Question [Re: Mel in WA]
Sinatra Fan Offline
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The IRS instructions for the completion of 2017 Form 1098 indicate to report MI premiums received if they exceed $600. The instructions note that you should check the IRS web site for an update on whether Congress extended the deductibility of MI premiums. I checked the link, and there is no update referring to that provision.

So it appears that the latest instructions are to report MI premiums on the 2017 Form 1098. As to whether those premiums are deductible, that would be up to each taxpayer's tax preparer to determine.
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#2161680 - 01/24/18 12:04 PM Re: 1098 Question [Re: HRH Okie Banker]
cwscb Offline
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Registered: 01/22/18
Posts: 19
Not sure if I need to start a new thread, but I saw this thread for a 1098.

1. For Trust accounts with tax-ID that is actually one of the trustee's SSN, do we issue a 1098?

2. Box 10 - number of mortgaged properties. How would that be defined? For example, how many properties would the following address be counted as?

(a) 10, 14, & 18 ABC STREET - would this be counted/viewed as 1 or 3 properties?

(b) 10-18 ABC STREET - this would be 1 property correct?

Thanks.

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#2162104 - 01/26/18 02:05 PM Re: 1098 Question [Re: HRH Okie Banker]
John Burnett Offline

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Bump
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#2162107 - 01/26/18 02:15 PM Re: 1098 Question [Re: HRH Okie Banker]
rlcarey Online
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Exceptions
You need not file Form 1098 for interest received from a corporation, partnership, trust, estate, association, or company (other than a sole proprietor) even if an individual is a co-borrower and all the trustees, beneficiaries, partners, members, or shareholders of the payer of record are individuals.

I don't think that there is any definition of multiple properties. I would not think it would have anything to do with addresses, but might be more closer in line to whether there are multiple parcels of land involved.
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#2162135 - 01/26/18 03:47 PM Re: 1098 Question [Re: HRH Okie Banker]
fmissle Offline
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Posts: 891
Loc: Pac NW
I recognize this is the 2018 1098, and so it isn't binding, but it does provide clarification that I think is better than the 2017. It's what I'm going to rely on for the 2017 numbers, not that we have many multiple property loans.

2018 Instructions https://www.irs.gov/pub/irs-pdf/i1098.pdf
Quote:
Box 9. Number of Mortgaged Properties
If there is more than one property securing the mortgage,
enter in box 9 the total number of properties secured by
this mortgage. If only one property secures the mortgage,
you may leave this box blank. For purposes of
determining the number of properties, you may consider
any single physical street address, 911 address, lot,
parcel, APN, or tract of land to be one property.



2017 Instructions https://www.irs.gov/pub/irs-pdf/i1098_17.pdf
Quote:
Box 10. Number of Mortgaged Properties
If there is more than one property securing the mortgage,
enter in box 10 the total number of properties secured by
this mortgage.

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#2162486 - 01/30/18 05:42 PM Re: 1098 Question [Re: HRH Okie Banker]
cwscb Offline
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Registered: 01/22/18
Posts: 19
Great, thanks guys.


Another question just came up, besides e-filing the 1098 to IRS, do we need to separately file it to State, say if you were filing in California?

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#2162490 - 01/30/18 05:58 PM Re: 1098 Question [Re: HRH Okie Banker]
rlcarey Online
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#2164094 - 02/12/18 01:11 PM Re: 1098 Question [Re: HRH Okie Banker]
cwscb Offline
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Registered: 01/22/18
Posts: 19
For box 10, number of mortgaged properties - some of my colleagues are saying we need to put "1" even if the mortgage is only secured by 1 property and some say that we leave the box blank. Please advise.

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#2164111 - 02/12/18 02:09 PM Re: 1098 Question [Re: HRH Okie Banker]
rlcarey Online
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Registered: 07/16/01
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Loc: Galveston, TX
What part of "If there is more than one property securing the mortgage," are they misunderstanding?
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#2164126 - 02/12/18 02:46 PM Re: 1098 Question [Re: HRH Okie Banker]
cwscb Offline
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Registered: 01/22/18
Posts: 19
thanks rlcarey.

I think there is slight confusion since some of them personally received their own 1098 forms and their lender put a "1" even if the mortgage was secured by 1 property.

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