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#2229734 - 01/28/20 02:34 PM STOP THE PRESSES on your 1098s!
John Burnett Offline
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John Burnett
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Posts: 40,086
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On Friday, the IRS issued updated guidance on reporting mortgage insurance premiums on Form 1098.

If you collect mortgage insurance premiums on loans and report interest received on Form 1098, there's been a retroactive change (thanks, Congress). Of immediate concern is reporting for calendar year 2019 (if you've already sent out the borrower statement on Form 1098, you will need to send corrected statements if you received MIP payments). And there's also something you may want to do for calendar year 2018 1098s, too.
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#2229777 - 01/28/20 05:27 PM Re: STOP THE PRESSES on your 1098s! John Burnett
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Thank you so much John, I say that on the BOL this morning and sent it to the people who needed the information.
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#2230750 - 02/11/20 09:05 PM Re: STOP THE PRESSES on your 1098s! John Burnett
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Stupid question time.

The IRS says 'should' issue corrected 1098s. I know in legalese 'shall' means it is required and 'may' means it is optional, so where does 'should' fall into that range?

We can't rerun our 1098s because our core doesn't allow it once we have filed, so all corrections would have to be done manually. That is a big job so before starting, the department just wants to know if this is something we have to do.

I have been arguing that it should be done, because if they are 'strongly recommending' we go back and correct the 2018 filing, then 'should' probably is also a strong recommendation even if not required. It is also a customer service issue in my mind, but I can also see their point of the work involved, so I don't want to tell them they absolutely have to do it if they don't.

?
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#2230762 - 02/11/20 10:18 PM Re: STOP THE PRESSES on your 1098s! John Burnett
John Burnett Offline
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John Burnett
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Should is the past tense of "shall" and regulators, including the IRS, typically mean "must," even though in spoken English, "should" is considered like "ought to" rather than "must."
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John S. Burnett
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#2231261 - 02/19/20 03:30 PM Re: STOP THE PRESSES on your 1098s! John Burnett
CloudShape Offline
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Thank you John. I majored in math, not English. I never realized (or probably even thought about) shall being conjugated and what the different tenses might be. That is enlightening.
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