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Irs 1040ez Form 2012

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Irs 1040ez Form 2012

Irs 1040ez form 2012 Publication 534 - Introductory Material Table of Contents Important Change for 1995 Introduction How To Use This Publication Important Change for 1995 Major changes to Publications 534 and 946. Irs 1040ez form 2012  This publication, as well as Publication 946,How To Depreciate Property, has been changed. Irs 1040ez form 2012 Publication 534 has been shortened. Irs 1040ez form 2012 It no longer contains general information on MACRS and the section 179 deduction. Irs 1040ez form 2012 It contains a discussion of the accelerated cost recovery system (ACRS), the ACRS Percentage Tables, a discussion of other methods of depreciation, and a limited discussion of listed property. Irs 1040ez form 2012 We expanded Publication 946 by adding material taken from Publication 534. Irs 1040ez form 2012 We added more detail to the discussions of the section 179 deduction, the modified accelerated cost recovery system (MACRS), and listed property. Irs 1040ez form 2012 We replaced the partialMACRS Percentage Tables with the complete ones from Publication 534. Irs 1040ez form 2012 We also added the Table of Class Lives and Recovery Periods from Publication 534. Irs 1040ez form 2012 We made these changes to eliminate most of the duplication that existed in the two publications. Irs 1040ez form 2012 This will save money and make it easier for you to decide which publication you need. Irs 1040ez form 2012 Use this publication to figure depreciation on property you placed in service before 1987; use Publication 946 to figure depreciation on property you placed in service after 1986. Irs 1040ez form 2012 Introduction The law allows you to recover your cost in business or income-producing property through yearly tax deductions. Irs 1040ez form 2012 You do this by depreciating your property, that is, by deducting some of your cost on your tax return each year. Irs 1040ez form 2012 You can depreciate both tangible property, such as a car, building, or machinery, and certain intangible property, such as a copyright or a patent. Irs 1040ez form 2012 The amount you can deduct depends on: How much the property cost, When you began using it, How long it will take to recover your cost, and Which of several depreciation methods you use. Irs 1040ez form 2012 Depreciation defined. Irs 1040ez form 2012   Depreciation is a loss in the value of property over the time the property is being used. Irs 1040ez form 2012 Events that can cause property to depreciate include wear and tear, age, deterioration, and obsolescence. Irs 1040ez form 2012 You can get back your cost of certain property, such as equipment you use in your business or property used for the production of income by taking deductions for depreciation. Irs 1040ez form 2012 Black's Law Dictionary Amortization. Irs 1040ez form 2012   Amortization is similar to depreciation. Irs 1040ez form 2012 Using amortization, you can recover your cost or basis in certain property proportionately over a specific number of years or months. Irs 1040ez form 2012 Examples of costs you can amortize are the costs of starting a business, reforestation, and pollution control facilities. Irs 1040ez form 2012 You can find information on amortization inchapter 12 of Publication 535, Business Expenses. Irs 1040ez form 2012 Alternative minimum tax. Irs 1040ez form 2012   If you use accelerated depreciation for real property, or personal property that is leased to others, you may be liable for the alternative minimum tax. Irs 1040ez form 2012 Accelerated depreciation is any method, that allows recovery at a faster rate in the earlier years than the straight line method. Irs 1040ez form 2012 For more information, you may wish to see the following: Form 6251, Alternative Minimum Tax-Individuals, and Publication 542, Tax Information on Corporations. Irs 1040ez form 2012 Ordering publications and forms. Irs 1040ez form 2012   To order free publications and forms, 1-800-TAX-FORM (1-800-829-3676). Irs 1040ez form 2012 You can also write to the IRS Forms Distribution Center nearest you. Irs 1040ez form 2012 Check your income tax package for the address. Irs 1040ez form 2012   If you have access to a personal computer and a modem, you can also get many forms and publications electronically. Irs 1040ez form 2012 See How To Get Forms and Publications in your income tax package for details. Irs 1040ez form 2012 Telephone help. Irs 1040ez form 2012   You can call the IRS with your tax question Monday through Friday during regular business hours. Irs 1040ez form 2012 Check your telephone book for the local number or you can call1-800-829-1040. Irs 1040ez form 2012 Telephone help for hearing-impaired persons. Irs 1040ez form 2012   If you have access to TDD equipment, you can call 1-800-829-4059 with your tax question or to order forms and publications. Irs 1040ez form 2012 See your tax package for the hours of operation. Irs 1040ez form 2012 How To Use This Publication This publication describes the kinds of property that can be depreciated and the methods used to figure depreciation on property placed in service before 1987. Irs 1040ez form 2012 It is divided into three chapters and contains an appendix. Irs 1040ez form 2012 Chapter 1 explains the rules for depreciating property under the Accelerated Cost Recovery System (ACRS). Irs 1040ez form 2012 Chapter 2 explains the rules for depreciating property first used before 1981. Irs 1040ez form 2012 Chapter 3 explains the rules for listed property. Irs 1040ez form 2012 Also this chapter defines listed property. Irs 1040ez form 2012 The appendix contains the ACRS Percentage Tables. 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2014 Standard Mileage Rates

IR-2013-95, Dec. 6, 2013

WASHINGTON — The Internal Revenue Service today issued the 2014 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes.

Beginning on Jan. 1, 2014, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:

  • 56 cents per mile for business miles driven
  • 23.5 cents per mile driven for medical or moving purposes
  • 14 cents per mile driven in service of charitable organizations

The business, medical, and moving expense rates decrease one-half cent from the 2013 rates.  The charitable rate is based on statute.

The standard mileage rate for business is based on an annual study of the fixed and variable costs of operating an automobile. The rate for medical and moving purposes is based on the variable costs.

Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates.

A taxpayer may not use the business standard mileage rate for a vehicle after using any depreciation method under the Modified Accelerated Cost Recovery System (MACRS) or after claiming a Section 179 deduction for that vehicle.  In addition, the business standard mileage rate cannot be used for more than four vehicles used simultaneously.

These and other requirements for a taxpayer to use a standard mileage rate to calculate the amount of a deductible business, moving, medical, or charitable expense are in Rev. Proc. 2010-51.  Notice 2013-80 contains the standard mileage rates, the amount a taxpayer must use in calculating reductions to basis for depreciation taken under the business standard mileage rate, and the maximum standard automobile cost that a taxpayer may use in computing the allowance under a fixed and variable rate plan.

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Page Last Reviewed or Updated: 06-Dec-2013

The Irs 1040ez Form 2012

Irs 1040ez form 2012 23. Irs 1040ez form 2012   Interest Expense Table of Contents Introduction Useful Items - You may want to see: Home Mortgage InterestAmount Deductible Points Mortgage Insurance Premiums Form 1098, Mortgage Interest Statement Investment InterestInvestment Property Allocation of Interest Expense Limit on Deduction Items You Cannot DeductPersonal Interest Allocation of Interest How To ReportMore than one borrower. Irs 1040ez form 2012 Mortgage proceeds used for business or investment. Irs 1040ez form 2012 Introduction This chapter discusses what interest expenses you can deduct. Irs 1040ez form 2012 Interest is the amount you pay for the use of borrowed money. Irs 1040ez form 2012 The following are types of interest you can deduct as itemized deductions on Schedule A (Form 1040). Irs 1040ez form 2012 Home mortgage interest, including certain points and mortgage insurance premiums. Irs 1040ez form 2012 Investment interest. Irs 1040ez form 2012 This chapter explains these deductions. Irs 1040ez form 2012 It also explains where to deduct other types of interest and lists some types of interest you cannot deduct. Irs 1040ez form 2012 Use Table 23-1 to find out where to get more information on various types of interest, including investment interest. Irs 1040ez form 2012 Useful Items - You may want to see: Publication 936 Home Mortgage Interest Deduction 550 Investment Income and Expenses Home Mortgage Interest Generally, home mortgage interest is any interest you pay on a loan secured by your home (main home or a second home). Irs 1040ez form 2012 The loan may be a mortgage to buy your home, a second mortgage, a line of credit, or a home equity loan. Irs 1040ez form 2012 You can deduct home mortgage interest if all the following conditions are met. Irs 1040ez form 2012 You file Form 1040 and itemize deductions on Schedule A (Form 1040). Irs 1040ez form 2012 The mortgage is a secured debt on a qualified home in which you have an ownership interest. Irs 1040ez form 2012 (Generally, your mortgage is a secured debt if you put your home up as collateral to protect the interest of the lender. Irs 1040ez form 2012 The term “qualified home” means your main home or second home. Irs 1040ez form 2012 For details, see Publication 936. Irs 1040ez form 2012 )  Both you and the lender must intend that the loan be repaid. Irs 1040ez form 2012 Amount Deductible In most cases, you can deduct all of your home mortgage interest. Irs 1040ez form 2012 How much you can deduct depends on the date of the mortgage, the amount of the mortgage, and how you use the mortgage proceeds. Irs 1040ez form 2012 Fully deductible interest. Irs 1040ez form 2012   If all of your mortgages fit into one or more of the following three categories at all times during the year, you can deduct all of the interest on those mortgages. Irs 1040ez form 2012 (If any one mortgage fits into more than one category, add the debt that fits in each category to your other debt in the same category. Irs 1040ez form 2012 )   The three categories are as follows: Mortgages you took out on or before October 13, 1987 (called grandfathered debt). Irs 1040ez form 2012 Mortgages you took out after October 13, 1987, to buy, build, or improve your home (called home acquisition debt), but only if throughout 2013 these mortgages plus any grandfathered debt totaled $1 million or less ($500,000 or less if married filing separately). Irs 1040ez form 2012 Mortgages you took out after October 13, 1987, other than to buy, build, or improve your home (called home equity debt), but only if throughout 2013 these mortgages totaled $100,000 or less ($50,000 or less if married filing separately) and totaled no more than the fair market value of your home reduced by (1) and (2). Irs 1040ez form 2012 The dollar limits for the second and third categories apply to the combined mortgages on your main home and second home. Irs 1040ez form 2012   See Part II of Publication 936 for more detailed definitions of grandfathered, home acquisition, and home equity debt. Irs 1040ez form 2012    You can use Figure 23-A to check whether your home mortgage interest is fully deductible. Irs 1040ez form 2012 Figure 23-A. Irs 1040ez form 2012 Is My Home Mortgage Interest Fully Deductible? Please click here for the text description of the image. Irs 1040ez form 2012 Figure 23-A. Irs 1040ez form 2012 Is My Interest Fully Deductible? Limits on deduction. Irs 1040ez form 2012   You cannot fully deduct interest on a mortgage that does not fit into any of the three categories listed earlier. Irs 1040ez form 2012 If this applies to you, see Part II of Publication 936 to figure the amount of interest you can deduct. Irs 1040ez form 2012 Special Situations This section describes certain items that can be included as home mortgage interest and others that cannot. Irs 1040ez form 2012 It also describes certain special situations that may affect your deduction. Irs 1040ez form 2012 Late payment charge on mortgage payment. Irs 1040ez form 2012   You can deduct as home mortgage interest a late payment charge if it was not for a specific service performed in connection with your mortgage loan. Irs 1040ez form 2012 Mortgage prepayment penalty. Irs 1040ez form 2012   If you pay off your home mortgage early, you may have to pay a penalty. Irs 1040ez form 2012 You can deduct that penalty as home mortgage interest provided the penalty is not for a specific service performed or cost incurred in connection with your mortgage loan. Irs 1040ez form 2012 Sale of home. Irs 1040ez form 2012   If you sell your home, you can deduct your home mortgage interest (subject to any limits that apply) paid up to, but not including, the date of sale. Irs 1040ez form 2012 Example. Irs 1040ez form 2012 John and Peggy Harris sold their home on May 7. Irs 1040ez form 2012 Through April 30, they made home mortgage interest payments of $1,220. Irs 1040ez form 2012 The settlement sheet for the sale of the home showed $50 interest for the 6-day period in May up to, but not including, the date of sale. Irs 1040ez form 2012 Their mortgage interest deduction is $1,270 ($1,220 + $50). Irs 1040ez form 2012 Prepaid interest. Irs 1040ez form 2012   If you pay interest in advance for a period that goes beyond the end of the tax year, you must spread this interest over the tax years to which it applies. Irs 1040ez form 2012 You can deduct in each year only the interest that qualifies as home mortgage interest for that year. Irs 1040ez form 2012 However, there is an exception that applies to points, discussed later. Irs 1040ez form 2012 Mortgage interest credit. Irs 1040ez form 2012   You may be able to claim a mortgage interest credit if you were issued a mortgage credit certificate (MCC) by a state or local government. Irs 1040ez form 2012 Figure the credit on Form 8396, Mortgage Interest Credit. Irs 1040ez form 2012 If you take this credit, you must reduce your mortgage interest deduction by the amount of the credit. Irs 1040ez form 2012   For more information on the credit, see chapter 37. Irs 1040ez form 2012 Ministers' and military housing allowance. Irs 1040ez form 2012   If you are a minister or a member of the uniformed services and receive a housing allowance that is not taxable, you can still deduct your home mortgage interest. Irs 1040ez form 2012 Hardest Hit Fund and Emergency Homeowners' Loan Programs. Irs 1040ez form 2012   You can use a special method to compute your deduction for mortgage interest and real estate taxes on your main home if you meet the following two conditions. Irs 1040ez form 2012 You received assistance under: A State Housing Finance Agency (State HFA) Hardest Hit Fund program in which program payments could be used to pay mortgage interest, or An Emergency Homeowners' Loan Program administered by the Department of Housing and Urban Development (HUD) or a state. Irs 1040ez form 2012 You meet the rules to deduct all of the mortgage interest on your loan and all of the real estate taxes on your main home. Irs 1040ez form 2012 If you meet these tests, then you can deduct all of the payments you actually made during the year to your mortgage servicer, the State HFA, or HUD on the home mortgage (including the amount shown on box 3 of Form 1098-MA, Mortgage Assistance Payments), but not more than the sum of the amounts shown on Form 1098, Mortgage Interest Statement, in box 1 (mortgage interest received from payer(s) / borrower(s)), box 4 (mortgage insurance premiums) and box 5 (real property taxes). Irs 1040ez form 2012 However, you are not required to use this special method to compute your deduction for mortgage interest and real estate taxes on your main home. Irs 1040ez form 2012 Mortgage assistance payments under section 235 of the National Housing Act. Irs 1040ez form 2012   If you qualify for mortgage assistance payments for lower-income families under section 235 of the National Housing Act, part or all of the interest on your mortgage may be paid for you. Irs 1040ez form 2012 You cannot deduct the interest that is paid for you. Irs 1040ez form 2012 No other effect on taxes. Irs 1040ez form 2012   Do not include these mortgage assistance payments in your income. Irs 1040ez form 2012 Also, do not use these payments to reduce other deductions, such as real estate taxes. Irs 1040ez form 2012 Divorced or separated individuals. Irs 1040ez form 2012   If a divorce or separation agreement requires you or your spouse or former spouse to pay home mortgage interest on a home owned by both of you, the payment of interest may be alimony. Irs 1040ez form 2012 See the discussion of Payments for jointly-owned home in chapter 18. Irs 1040ez form 2012 Redeemable ground rents. Irs 1040ez form 2012   If you make annual or periodic rental payments on a redeemable ground rent, you can deduct them as mortgage interest. Irs 1040ez form 2012   Payments made to end the lease and to buy the lessor's entire interest in the land are not deductible as mortgage interest. Irs 1040ez form 2012 For more information, see Publication 936. Irs 1040ez form 2012 Nonredeemable ground rents. Irs 1040ez form 2012   Payments on a nonredeemable ground rent are not mortgage interest. Irs 1040ez form 2012 You can deduct them as rent if they are a business expense or if they are for rental property. Irs 1040ez form 2012 Reverse mortgages. Irs 1040ez form 2012   A reverse mortgage is a loan where the lender pays you (in a lump sum, a monthly advance, a line of credit, or a combination of all three) while you continue to live in your home. Irs 1040ez form 2012 With a reverse mortgage, you retain title to your home. Irs 1040ez form 2012 Depending on the plan, your reverse mortgage becomes due with interest when you move, sell your home, reach the end of a pre-selected loan period, or die. Irs 1040ez form 2012 Because reverse mortgages are considered loan advances and not income, the amount you receive is not taxable. Irs 1040ez form 2012 Any interest (including original issue discount) accrued on a reverse mortgage is not deductible until the loan is paid in full. Irs 1040ez form 2012 Your deduction may be limited because a reverse mortgage loan generally is subject to the limit on Home Equity Debt discussed in Publication 936. Irs 1040ez form 2012 Rental payments. Irs 1040ez form 2012   If you live in a house before final settlement on the purchase, any payments you make for that period are rent and not interest. Irs 1040ez form 2012 This is true even if the settlement papers call them interest. Irs 1040ez form 2012 You cannot deduct these payments as home mortgage interest. Irs 1040ez form 2012 Mortgage proceeds invested in tax-exempt securities. Irs 1040ez form 2012   You cannot deduct the home mortgage interest on grandfathered debt or home equity debt if you used the proceeds of the mortgage to buy securities or certificates that produce tax-free income. Irs 1040ez form 2012 “Grandfathered debt” and “home equity debt” are defined earlier under Amount Deductible. Irs 1040ez form 2012 Refunds of interest. Irs 1040ez form 2012   If you receive a refund of interest in the same tax year you paid it, you must reduce your interest expense by the amount refunded to you. Irs 1040ez form 2012 If you receive a refund of interest you deducted in an earlier year, you generally must include the refund in income in the year you receive it. Irs 1040ez form 2012 However, you need to include it only up to the amount of the deduction that reduced your tax in the earlier year. Irs 1040ez form 2012 This is true whether the interest overcharge was refunded to you or was used to reduce the outstanding principal on your mortgage. Irs 1040ez form 2012    If you received a refund of interest you overpaid in an earlier year, you generally will receive a Form 1098, Mortgage Interest Statement, showing the refund in box 3. Irs 1040ez form 2012 For information about Form 1098, see Form 1098, Mortgage Interest Statement , later. Irs 1040ez form 2012   For more information on how to treat refunds of interest deducted in earlier years, see Recoveries in chapter 12. Irs 1040ez form 2012 Points The term “points” is used to describe certain charges paid, or treated as paid, by a borrower to obtain a home mortgage. Irs 1040ez form 2012 Points may also be called loan origination fees, maximum loan charges, loan discount, or discount points. Irs 1040ez form 2012 A borrower is treated as paying any points that a home seller pays for the borrower's mortgage. Irs 1040ez form 2012 See Points paid by the seller , later. Irs 1040ez form 2012 General Rule You generally cannot deduct the full amount of points in the year paid. Irs 1040ez form 2012 Because they are prepaid interest, you generally deduct them ratably over the life (term) of the mortgage. Irs 1040ez form 2012 See Deduction Allowed Ratably , next. Irs 1040ez form 2012 For exceptions to the general rule, see Deduction Allowed in Year Paid , later. Irs 1040ez form 2012 Deduction Allowed Ratably If you do not meet the tests listed under Deduction Allowed in Year Paid , later, the loan is not a home improvement loan, or you choose not to deduct your points in full in the year paid, you can deduct the points ratably (equally) over the life of the loan if you meet all the following tests. Irs 1040ez form 2012 You use the cash method of accounting. Irs 1040ez form 2012 This means you report income in the year you receive it and deduct expenses in the year you pay them. Irs 1040ez form 2012 Most individuals use this method. Irs 1040ez form 2012 Your loan is secured by a home. Irs 1040ez form 2012 (The home does not need to be your main home. Irs 1040ez form 2012 ) Your loan period is not more than 30 years. Irs 1040ez form 2012 If your loan period is more than 10 years, the terms of your loan are the same as other loans offered in your area for the same or longer period. Irs 1040ez form 2012 Either your loan amount is $250,000 or less, or the number of points is not more than: 4, if your loan period is 15 years or less, or 6, if your loan period is more than 15 years. Irs 1040ez form 2012 Deduction Allowed in Year Paid You can fully deduct points in the year paid if you meet all the following tests. Irs 1040ez form 2012 (You can use Figure 23-B as a quick guide to see whether your points are fully deductible in the year paid. Irs 1040ez form 2012 ) Your loan is secured by your main home. Irs 1040ez form 2012 (Your main home is the one you ordinarily live in most of the time. Irs 1040ez form 2012 ) Paying points is an established business practice in the area where the loan was made. Irs 1040ez form 2012 The points paid were not more than the points generally charged in that area. Irs 1040ez form 2012 You use the cash method of accounting. Irs 1040ez form 2012 This means you report income in the year you receive it and deduct expenses in the year you pay them. Irs 1040ez form 2012 (If you want more information about this method, see Accounting Methods in chapter 1. Irs 1040ez form 2012 ) The points were not paid in place of amounts that ordinarily are stated separately on the settlement statement, such as appraisal fees, inspection fees, title fees, attorney fees, and property taxes. Irs 1040ez form 2012 The funds you provided at or before closing, plus any points the seller paid, were at least as much as the points charged. Irs 1040ez form 2012 The funds you provided are not required to have been applied to the points. Irs 1040ez form 2012 They can include a down payment, an escrow deposit, earnest money, and other funds you paid at or before closing for any purpose. Irs 1040ez form 2012 You cannot have borrowed these funds from your lender or mortgage broker. Irs 1040ez form 2012 You use your loan to buy or build your main home. Irs 1040ez form 2012 The points were computed as a percentage of the principal amount of the mortgage. Irs 1040ez form 2012 The amount is clearly shown on the settlement statement (such as the Settlement Statement, Form HUD-1) as points charged for the mortgage. Irs 1040ez form 2012 The points may be shown as paid from either your funds or the seller's. Irs 1040ez form 2012 Figure 23-B. Irs 1040ez form 2012 Are My Points Fully Deductible This Year? Please click here for the text description of the image. Irs 1040ez form 2012 Figure 23-B. Irs 1040ez form 2012 Are My Points Fully Deductible This Year? Note. Irs 1040ez form 2012 If you meet all of these tests, you can choose to either fully deduct the points in the year paid, or deduct them over the life of the loan. Irs 1040ez form 2012 Home improvement loan. Irs 1040ez form 2012   You can also fully deduct in the year paid points paid on a loan to improve your main home, if tests (1) through (6) are met. Irs 1040ez form 2012 Second home. Irs 1040ez form 2012 You cannot fully deduct in the year paid points you pay on loans secured by your second home. Irs 1040ez form 2012 You can deduct these points only over the life of the loan. Irs 1040ez form 2012 Refinancing. Irs 1040ez form 2012   Generally, points you pay to refinance a mortgage are not deductible in full in the year you pay them. Irs 1040ez form 2012 This is true even if the new mortgage is secured by your main home. Irs 1040ez form 2012   However, if you use part of the refinanced mortgage proceeds to improve your main home and you meet the first 6 tests listed under Deduction Allowed in Year Paid , earlier, you can fully deduct the part of the points related to the improvement in the year you paid them with your own funds. Irs 1040ez form 2012 You can deduct the rest of the points over the life of the loan. Irs 1040ez form 2012 Example 1. Irs 1040ez form 2012 In 1998, Bill Fields got a mortgage to buy a home. Irs 1040ez form 2012 In 2013, Bill refinanced that mortgage with a 15-year $100,000 mortgage loan. Irs 1040ez form 2012 The mortgage is secured by his home. Irs 1040ez form 2012 To get the new loan, he had to pay three points ($3,000). Irs 1040ez form 2012 Two points ($2,000) were for prepaid interest, and one point ($1,000) was charged for services, in place of amounts that ordinarily are stated separately on the settlement statement. Irs 1040ez form 2012 Bill paid the points out of his private funds, rather than out of the proceeds of the new loan. Irs 1040ez form 2012 The payment of points is an established practice in the area, and the points charged are not more than the amount generally charged there. Irs 1040ez form 2012 Bill's first payment on the new loan was due July 1. Irs 1040ez form 2012 He made six payments on the loan in 2013 and is a cash basis taxpayer. Irs 1040ez form 2012 Bill used the funds from the new mortgage to repay his existing mortgage. Irs 1040ez form 2012 Although the new mortgage loan was for Bill's continued ownership of his main home, it was not for the purchase or improvement of that home. Irs 1040ez form 2012 He cannot deduct all of the points in 2013. Irs 1040ez form 2012 He can deduct two points ($2,000) ratably over the life of the loan. Irs 1040ez form 2012 He deducts $67 [($2,000 ÷ 180 months) × 6 payments] of the points in 2013. Irs 1040ez form 2012 The other point ($1,000) was a fee for services and is not deductible. Irs 1040ez form 2012 Example 2. Irs 1040ez form 2012 The facts are the same as in Example 1, except that Bill used $25,000 of the loan proceeds to improve his home and $75,000 to repay his existing mortgage. Irs 1040ez form 2012 Bill deducts 25% ($25,000 ÷ $100,000) of the points ($2,000) in 2013. Irs 1040ez form 2012 His deduction is $500 ($2,000 × 25%). Irs 1040ez form 2012 Bill also deducts the ratable part of the remaining $1,500 ($2,000 − $500) that must be spread over the life of the loan. Irs 1040ez form 2012 This is $50 [($1,500 ÷ 180 months) × 6 payments] in 2013. Irs 1040ez form 2012 The total amount Bill deducts in 2013 is $550 ($500 + $50). Irs 1040ez form 2012 Special Situations This section describes certain special situations that may affect your deduction of points. Irs 1040ez form 2012 Original issue discount. Irs 1040ez form 2012   If you do not qualify to either deduct the points in the year paid or deduct them ratably over the life of the loan, or if you choose not to use either of these methods, the points reduce the issue price of the loan. Irs 1040ez form 2012 This reduction results in original issue discount, which is discussed in chapter 4 of Publication 535. Irs 1040ez form 2012 Amounts charged for services. Irs 1040ez form 2012   Amounts charged by the lender for specific services connected to the loan are not interest. Irs 1040ez form 2012 Examples of these charges are: Appraisal fees, Notary fees, and Preparation costs for the mortgage note or deed of trust. Irs 1040ez form 2012 You cannot deduct these amounts as points either in the year paid or over the life of the mortgage. Irs 1040ez form 2012 Points paid by the seller. Irs 1040ez form 2012   The term “points” includes loan placement fees that the seller pays to the lender to arrange financing for the buyer. Irs 1040ez form 2012 Treatment by seller. Irs 1040ez form 2012   The seller cannot deduct these fees as interest. Irs 1040ez form 2012 But they are a selling expense that reduces the amount realized by the seller. Irs 1040ez form 2012 See chapter 15 for information on selling your home. Irs 1040ez form 2012 Treatment by buyer. Irs 1040ez form 2012    The buyer reduces the basis of the home by the amount of the seller-paid points and treats the points as if he or she had paid them. Irs 1040ez form 2012 If all the tests under Deduction Allowed in Year Paid , earlier, are met, the buyer can deduct the points in the year paid. Irs 1040ez form 2012 If any of those tests are not met, the buyer deducts the points over the life of the loan. Irs 1040ez form 2012   For information about basis, see chapter 13. Irs 1040ez form 2012 Funds provided are less than points. Irs 1040ez form 2012   If you meet all the tests in Deduction Allowed in Year Paid , earlier, except that the funds you provided were less than the points charged to you (test (6)), you can deduct the points in the year paid, up to the amount of funds you provided. Irs 1040ez form 2012 In addition, you can deduct any points paid by the seller. Irs 1040ez form 2012 Example 1. Irs 1040ez form 2012 When you took out a $100,000 mortgage loan to buy your home in December, you were charged one point ($1,000). Irs 1040ez form 2012 You meet all the tests for deducting points in the year paid, except the only funds you provided were a $750 down payment. Irs 1040ez form 2012 Of the $1,000 charged for points, you can deduct $750 in the year paid. Irs 1040ez form 2012 You spread the remaining $250 over the life of the mortgage. Irs 1040ez form 2012 Example 2. Irs 1040ez form 2012 The facts are the same as in Example 1, except that the person who sold you your home also paid one point ($1,000) to help you get your mortgage. Irs 1040ez form 2012 In the year paid, you can deduct $1,750 ($750 of the amount you were charged plus the $1,000 paid by the seller). Irs 1040ez form 2012 You spread the remaining $250 over the life of the mortgage. Irs 1040ez form 2012 You must reduce the basis of your home by the $1,000 paid by the seller. Irs 1040ez form 2012 Excess points. Irs 1040ez form 2012   If you meet all the tests in Deduction Allowed in Year Paid , earlier, except that the points paid were more than generally paid in your area (test (3)), you deduct in the year paid only the points that are generally charged. Irs 1040ez form 2012 You must spread any additional points over the life of the mortgage. Irs 1040ez form 2012 Mortgage ending early. Irs 1040ez form 2012   If you spread your deduction for points over the life of the mortgage, you can deduct any remaining balance in the year the mortgage ends. Irs 1040ez form 2012 However, if you refinance the mortgage with the same lender, you cannot deduct any remaining balance of spread points. Irs 1040ez form 2012 Instead, deduct the remaining balance over the term of the new loan. Irs 1040ez form 2012    A mortgage may end early due to a prepayment, refinancing, foreclosure, or similar event. Irs 1040ez form 2012 Example. Irs 1040ez form 2012 Dan paid $3,000 in points in 2002 that he had to spread out over the 15-year life of the mortgage. Irs 1040ez form 2012 He deducts $200 points per year. Irs 1040ez form 2012 Through 2012, Dan has deducted $2,200 of the points. Irs 1040ez form 2012 Dan prepaid his mortgage in full in 2013. Irs 1040ez form 2012 He can deduct the remaining $800 of points in 2013. Irs 1040ez form 2012 Limits on deduction. Irs 1040ez form 2012   You cannot fully deduct points paid on a mortgage unless the mortgage fits into one of the categories listed earlier under Fully deductible interest . Irs 1040ez form 2012 See Publication 936 for details. Irs 1040ez form 2012 Mortgage Insurance Premiums You can treat amounts you paid during 2013 for qualified mortgage insurance as home mortgage interest. Irs 1040ez form 2012 The insurance must be in connection with home acquisition debt and the insurance contract must have been issued after 2006. Irs 1040ez form 2012 Qualified mortgage insurance. Irs 1040ez form 2012   Qualified mortgage insurance is mortgage insurance provided by the Department of Veterans Affairs, the Federal Housing Administration, or the Rural Housing Service, and private mortgage insurance (as defined in section 2 of the Homeowners Protection Act of 1998 as in effect on December 20, 2006). Irs 1040ez form 2012   Mortgage insurance provided by the Department of Veterans Affairs is commonly known as a funding fee. Irs 1040ez form 2012 If provided by the Rural Housing Service, it is commonly known as a guarantee fee. Irs 1040ez form 2012 These fees can be deducted fully in 2013 if the mortgage insurance contract was issued in 2013. Irs 1040ez form 2012 Contact the mortgage insurance issuer to determine the deductible amount if it is not reported in box 4 of Form 1098. Irs 1040ez form 2012 Special rules for prepaid mortgage insurance. Irs 1040ez form 2012   Generally, if you paid premiums for qualified mortgage insurance that are allocable to periods after the close of the tax year, such premiums are treated as paid in the period to which they are allocated. Irs 1040ez form 2012 You must allocate the premiums over the shorter of the stated term of the mortgage or 84 months, beginning with the month the insurance was obtained. Irs 1040ez form 2012 No deduction is allowed for the unamortized balance if the mortgage is satisfied before its term. Irs 1040ez form 2012 This paragraph does not apply to qualified mortgage insurance provided by the Department of Veterans Affairs or the Rural Housing Service. Irs 1040ez form 2012 See the Example below. Irs 1040ez form 2012 Example. Irs 1040ez form 2012 Ryan purchased a home in May of 2012 and financed the home with a 15-year mortgage. Irs 1040ez form 2012 Ryan also prepaid all of the $9,240 in private mortgage insurance required at the time of closing in May. Irs 1040ez form 2012 Since the $9,240 in private mortgage insurance is allocable to periods after 2012, Ryan must allocate the $9,240 over the shorter of the life of the mortgage or 84 months. Irs 1040ez form 2012 Ryan's adjusted gross income (AGI) for 2012 is $76,000. Irs 1040ez form 2012 Ryan can deduct $880 ($9,240 ÷ 84 × 8 months) for qualified mortgage insurance premiums in 2012. Irs 1040ez form 2012 For 2013, Ryan can deduct $1,320 ($9,240 ÷ 84 × 12 months) if his AGI is $100,000 or less. Irs 1040ez form 2012 In this example, the mortgage insurance premiums are allocated over 84 months, which is shorter than the life of the mortgage of 15 years (180 months). Irs 1040ez form 2012 Limit on deduction. Irs 1040ez form 2012   If your adjusted gross income on Form 1040, line 38, is more than $100,000 ($50,000 if your filing status is married filing separately), the amount of your mortgage insurance premiums that are otherwise deductible is reduced and may be eliminated. Irs 1040ez form 2012 See Line 13 in the instructions for Schedule A (Form 1040) and complete the Mortgage Insurance Premiums Deduction Worksheet to figure the amount you can deduct. Irs 1040ez form 2012 If your adjusted gross income is more than $109,000 ($54,500 if married filing separately), you cannot deduct your mortgage insurance premiums. Irs 1040ez form 2012 Form 1098, Mortgage Interest Statement If you paid $600 or more of mortgage interest (including certain points and mortgage insurance premiums) during the year on any one mortgage, you generally will receive a Form 1098 or a similar statement from the mortgage holder. Irs 1040ez form 2012 You will receive the statement if you pay interest to a person (including a financial institution or a cooperative housing corporation) in the course of that person's trade or business. Irs 1040ez form 2012 A governmental unit is a person for purposes of furnishing the statement. Irs 1040ez form 2012 The statement for each year should be sent to you by January 31 of the following year. Irs 1040ez form 2012 A copy of this form will also be sent to the IRS. Irs 1040ez form 2012 The statement will show the total interest you paid during the year, any mortgage insurance premiums you paid, and if you purchased a main home during the year, it also will show the deductible points paid during the year, including seller-paid points. Irs 1040ez form 2012 However, it should not show any interest that was paid for you by a government agency. Irs 1040ez form 2012 As a general rule, Form 1098 will include only points that you can fully deduct in the year paid. Irs 1040ez form 2012 However, certain points not included on Form 1098 also may be deductible, either in the year paid or over the life of the loan. Irs 1040ez form 2012 See Points , earlier, to determine whether you can deduct points not shown on Form 1098. Irs 1040ez form 2012 Prepaid interest on Form 1098. Irs 1040ez form 2012   If you prepaid interest in 2013 that accrued in full by January 15, 2014, this prepaid interest may be included in box 1 of Form 1098. Irs 1040ez form 2012 However, you cannot deduct the prepaid amount for January 2014 in 2013. Irs 1040ez form 2012 (See Prepaid interest , earlier. Irs 1040ez form 2012 ) You will have to figure the interest that accrued for 2014 and subtract it from the amount in box 1. Irs 1040ez form 2012 You will include the interest for January 2014 with the other interest you pay for 2014. Irs 1040ez form 2012 See How To Report , later. Irs 1040ez form 2012 Refunded interest. Irs 1040ez form 2012   If you received a refund of mortgage interest you overpaid in an earlier year, you generally will receive a Form 1098 showing the refund in box 3. Irs 1040ez form 2012 See Refunds of interest , earlier. Irs 1040ez form 2012 Mortgage insurance premiums. Irs 1040ez form 2012   The amount of mortgage insurance premiums you paid during 2013 may be shown in box 4 of Form 1098. Irs 1040ez form 2012 See Mortgage Insurance Premiums, earlier. Irs 1040ez form 2012 Investment Interest This section discusses interest expenses you may be able to deduct as an investor. Irs 1040ez form 2012 If you borrow money to buy property you hold for investment, the interest you pay is investment interest. Irs 1040ez form 2012 You can deduct investment interest subject to the limit discussed later. Irs 1040ez form 2012 However, you cannot deduct interest you incurred to produce tax-exempt income. Irs 1040ez form 2012 Nor can you deduct interest expenses on straddles. Irs 1040ez form 2012 Investment interest does not include any qualified home mortgage interest or any interest taken into account in computing income or loss from a passive activity. Irs 1040ez form 2012 Investment Property Property held for investment includes property that produces interest, dividends, annuities, or royalties not derived in the ordinary course of a trade or business. Irs 1040ez form 2012 It also includes property that produces gain or loss (not derived in the ordinary course of a trade or business) from the sale or trade of property producing these types of income or held for investment (other than an interest in a passive activity). Irs 1040ez form 2012 Investment property also includes an interest in a trade or business activity in which you did not materially participate (other than a passive activity). Irs 1040ez form 2012 Partners, shareholders, and beneficiaries. Irs 1040ez form 2012   To determine your investment interest, combine your share of investment interest from a partnership, S corporation, estate, or trust with your other investment interest. Irs 1040ez form 2012 Allocation of Interest Expense If you borrow money for business or personal purposes as well as for investment, you must allocate the debt among those purposes. Irs 1040ez form 2012 Only the interest expense on the part of the debt used for investment purposes is treated as investment interest. Irs 1040ez form 2012 The allocation is not affected by the use of property that secures the debt. Irs 1040ez form 2012 Limit on Deduction Generally, your deduction for investment interest expense is limited to the amount of your net investment income. Irs 1040ez form 2012 You can carry over the amount of investment interest that you could not deduct because of this limit to the next tax year. Irs 1040ez form 2012 The interest carried over is treated as investment interest paid or accrued in that next year. Irs 1040ez form 2012 You can carry over disallowed investment interest to the next tax year even if it is more than your taxable income in the year the interest was paid or accrued. Irs 1040ez form 2012 Net Investment Income Determine the amount of your net investment income by subtracting your investment expenses (other than interest expense) from your investment income. Irs 1040ez form 2012 Investment income. Irs 1040ez form 2012    This generally includes your gross income from property held for investment (such as interest, dividends, annuities, and royalties). Irs 1040ez form 2012 Investment income does not include Alaska Permanent Fund dividends. Irs 1040ez form 2012 It also does not include qualified dividends or net capital gain unless you choose to include them. Irs 1040ez form 2012 Choosing to include qualified dividends. Irs 1040ez form 2012   Investment income generally does not include qualified dividends, discussed in chapter 8. Irs 1040ez form 2012 However, you can choose to include all or part of your qualified dividends in investment income. Irs 1040ez form 2012   You make this choice by completing Form 4952, line 4g, according to its instructions. Irs 1040ez form 2012   If you choose to include any amount of your qualified dividends in investment income, you must reduce your qualified dividends that are eligible for the lower capital gains tax rates by the same amount. Irs 1040ez form 2012 Choosing to include net capital gain. Irs 1040ez form 2012   Investment income generally does not include net capital gain from disposing of investment property (including capital gain distributions from mutual funds). Irs 1040ez form 2012 However, you can choose to include all or part of your net capital gain in investment income. Irs 1040ez form 2012    You make this choice by completing Form 4952, line 4g, according to its instructions. Irs 1040ez form 2012   If you choose to include any amount of your net capital gain in investment income, you must reduce your net capital gain that is eligible for the lower capital gains tax rates by the same amount. Irs 1040ez form 2012    Before making either choice, consider the overall effect on your tax liability. Irs 1040ez form 2012 Compare your tax if you make one or both of these choices with your tax if you do not. Irs 1040ez form 2012 Investment income of child reported on parent's return. Irs 1040ez form 2012    Investment income includes the part of your child's interest and dividend income that you choose to report on your return. Irs 1040ez form 2012 If the child does not have qualified dividends, Alaska Permanent Fund dividends, or capital gain distributions, this is the amount on line 6 of Form 8814, Parents' Election To Report Child's Interest and Dividends. Irs 1040ez form 2012 Child's qualified dividends. Irs 1040ez form 2012   If part of the amount you report is your child's qualified dividends, that part (which is reported on Form 1040, line 9b) generally does not count as investment income. Irs 1040ez form 2012 However, you can choose to include all or part of it in investment income, as explained under Choosing to include qualified dividends , earlier. Irs 1040ez form 2012   Your investment income also includes the amount on Form 8814, line 12 (or, if applicable, the reduced amount figured next under Child's Alaska Permanent Fund dividends). Irs 1040ez form 2012 Child's Alaska Permanent Fund dividends. Irs 1040ez form 2012   If part of the amount you report is your child's Alaska Permanent Fund dividends, that part does not count as investment income. Irs 1040ez form 2012 To figure the amount of your child's income that you can consider your investment income, start with the amount on Form 8814, line 6. Irs 1040ez form 2012 Multiply that amount by a percentage that is equal to the Alaska Permanent Fund dividends divided by the total amount on Form 8814, line 4. Irs 1040ez form 2012 Subtract the result from the amount on Form 8814, line 12. Irs 1040ez form 2012 Child's capital gain distributions. Irs 1040ez form 2012    If part of the amount you report is your child's capital gain distributions, that part (which is reported on Schedule D, line 13, or Form 1040, line 13) generally does not count as investment income. Irs 1040ez form 2012 However, you can choose to include all or part of it in investment income, as explained in Choosing to include net capital gain , earlier. Irs 1040ez form 2012   Your investment income also includes the amount on Form 8814, line 12 (or, if applicable, the reduced amount figured under Child's Alaska Permanent Fund dividends , earlier). Irs 1040ez form 2012 Investment expenses. Irs 1040ez form 2012   Investment expenses are your allowed deductions (other than interest expense) directly connected with the production of investment income. Irs 1040ez form 2012 Investment expenses that are included as a miscellaneous itemized deduction on Schedule A (Form 1040) are allowable deductions after applying the 2% limit that applies to miscellaneous itemized deductions. Irs 1040ez form 2012 Use the smaller of: The investment expenses included on Schedule A (Form 1040), line 23, or The amount on Schedule A, line 27. Irs 1040ez form 2012 Losses from passive activities. Irs 1040ez form 2012   Income or expenses that you used in computing income or loss from a passive activity are not included in determining your investment income or investment expenses (including investment interest expense). Irs 1040ez form 2012 See Publication 925, Passive Activity and At-Risk Rules, for information about passive activities. Irs 1040ez form 2012 Form 4952 Use Form 4952, Investment Interest Expense Deduction, to figure your deduction for investment interest. Irs 1040ez form 2012 Exception to use of Form 4952. Irs 1040ez form 2012   You do not have to complete Form 4952 or attach it to your return if you meet all of the following tests. Irs 1040ez form 2012 Your investment interest expense is not more than your investment income from interest and ordinary dividends minus any qualified dividends. Irs 1040ez form 2012 You do not have any other deductible investment expenses. Irs 1040ez form 2012 You have no carryover of investment interest expense from 2012. Irs 1040ez form 2012 If you meet all of these tests, you can deduct all of your investment interest. Irs 1040ez form 2012 More Information For more information on investment interest, see Interest Expenses in chapter 3 of Publication 550. Irs 1040ez form 2012 Items You Cannot Deduct Some interest payments are not deductible. Irs 1040ez form 2012 Certain expenses similar to interest also are not deductible. Irs 1040ez form 2012 Nondeductible expenses include the following items. Irs 1040ez form 2012 Personal interest (discussed later). Irs 1040ez form 2012 Service charges (however, see Other Expenses (Line 23) in chapter 28). Irs 1040ez form 2012 Annual fees for credit cards. Irs 1040ez form 2012 Loan fees. Irs 1040ez form 2012 Credit investigation fees. Irs 1040ez form 2012 Interest to purchase or carry tax-exempt securities. Irs 1040ez form 2012 Penalties. Irs 1040ez form 2012   You cannot deduct fines and penalties paid to a government for violations of law, regardless of their nature. Irs 1040ez form 2012 Personal Interest Personal interest is not deductible. Irs 1040ez form 2012 Personal interest is any interest that is not home mortgage interest, investment interest, business interest, or other deductible interest. Irs 1040ez form 2012 It includes the following items. Irs 1040ez form 2012 Interest on car loans (unless you use the car for business). Irs 1040ez form 2012 Interest on federal, state, or local income tax. Irs 1040ez form 2012 Finance charges on credit cards, retail installment contracts, and revolving charge accounts incurred for personal expenses. Irs 1040ez form 2012 Late payment charges by a public utility. Irs 1040ez form 2012 You may be able to deduct interest you pay on a qualified student loan. Irs 1040ez form 2012 For details, see Publication 970, Tax Benefits for Education. Irs 1040ez form 2012 Allocation of Interest If you use the proceeds of a loan for more than one purpose (for example, personal and business), you must allocate the interest on the loan to each use. Irs 1040ez form 2012 However, you do not have to allocate home mortgage interest if it is fully deductible, regardless of how the funds are used. Irs 1040ez form 2012 You allocate interest (other than fully deductible home mortgage interest) on a loan in the same way as the loan itself is allocated. Irs 1040ez form 2012 You do this by tracing disbursements of the debt proceeds to specific uses. Irs 1040ez form 2012 For details on how to do this, see chapter 4 of Publication 535. Irs 1040ez form 2012 How To Report You must file Form 1040 to deduct any home mortgage interest expense on your tax return. Irs 1040ez form 2012 Where you deduct your interest expense generally depends on how you use the loan proceeds. Irs 1040ez form 2012 See Table 23-1 for a summary of where to deduct your interest expense. Irs 1040ez form 2012 Home mortgage interest and points. Irs 1040ez form 2012   Deduct the home mortgage interest and points reported to you on Form 1098 on Schedule A (Form 1040), line 10. Irs 1040ez form 2012 If you paid more deductible interest to the financial institution than the amount shown on Form 1098, show the larger deductible amount on line 10. Irs 1040ez form 2012 Attach a statement explaining the difference and print “See attached” next to line 10. Irs 1040ez form 2012    Deduct home mortgage interest that was not reported to you on Form 1098 on Schedule A (Form 1040), line 11. Irs 1040ez form 2012 If you paid home mortgage interest to the person from whom you bought your home, show that person's name, address, and taxpayer identification number (TIN) on the dotted lines next to line 11. Irs 1040ez form 2012 The seller must give you this number and you must give the seller your TIN. Irs 1040ez form 2012 A Form W-9, Request for Taxpayer Identification Number and Certification, can be used for this purpose. Irs 1040ez form 2012 Failure to meet any of these requirements may result in a $50 penalty for each failure. Irs 1040ez form 2012 The TIN can be either a social security number, an individual taxpayer identification number (issued by the Internal Revenue Service), or an employer identification number. Irs 1040ez form 2012 See Social Security Number (SSN) in chapter 1 for more information about TINs. Irs 1040ez form 2012    If you can take a deduction for points that were not reported to you on Form 1098, deduct those points on Schedule A (Form 1040), line 12. Irs 1040ez form 2012   Deduct mortgage insurance premiums on Schedule A (Form 1040), line 13. Irs 1040ez form 2012 More than one borrower. Irs 1040ez form 2012   If you and at least one other person (other than your spouse if you file a joint return) were liable for and paid interest on a mortgage that was for your home, and the other person received a Form 1098 showing the interest that was paid during the year, attach a statement to your return explaining this. Irs 1040ez form 2012 Show how much of the interest each of you paid, and give the name and address of the person who received the form. Irs 1040ez form 2012 Deduct your share of the interest on Schedule A (Form 1040), line 11, and print “See attached” next to the line. Irs 1040ez form 2012 Also, deduct your share of any qualified mortgage insurance premiums on Schedule A (Form 1040), line 13. Irs 1040ez form 2012   Similarly, if you are the payer of record on a mortgage on which there are other borrowers entitled to a deduction for the interest shown on the Form 1098 you received, deduct only your share of the interest on Schedule A (Form 1040), line 10. Irs 1040ez form 2012 You should let each of the other borrowers know what his or her share is. Irs 1040ez form 2012 Mortgage proceeds used for business or investment. Irs 1040ez form 2012    If your home mortgage interest deduction is limited, but all or part of the mortgage proceeds were used for business, investment, or other deductible activities, see Table 23-1. Irs 1040ez form 2012 It shows where to deduct the part of your excess interest that is for those activities. Irs 1040ez form 2012 Investment interest. Irs 1040ez form 2012    Deduct investment interest, subject to certain limits discussed in Publication 550, on Schedule A (Form 1040), line 14. Irs 1040ez form 2012 Amortization of bond premium. Irs 1040ez form 2012   There are various ways to treat the premium you pay to buy taxable bonds. Irs 1040ez form 2012 See Bond Premium Amortization in Publication 550. Irs 1040ez form 2012 Income-producing rental or royalty interest. Irs 1040ez form 2012   Deduct interest on a loan for income-producing rental or royalty property that is not used in your business in Part I of Schedule E (Form 1040). Irs 1040ez form 2012 Example. Irs 1040ez form 2012 You rent out part of your home and borrow money to make repairs. Irs 1040ez form 2012 You can deduct only the interest payment for the rented part in Part I of Schedule E (Form 1040). Irs 1040ez form 2012 Deduct the rest of the interest payment on Schedule A (Form 1040) if it is deductible home mortgage interest. Irs 1040ez form 2012 Table 23-1. Irs 1040ez form 2012 Where To Deduct Your Interest Expense IF you have . Irs 1040ez form 2012 . Irs 1040ez form 2012 . Irs 1040ez form 2012 THEN deduct it on . Irs 1040ez form 2012 . Irs 1040ez form 2012 . Irs 1040ez form 2012 AND for more information go to . Irs 1040ez form 2012 . Irs 1040ez form 2012 . Irs 1040ez form 2012 deductible student loan interest Form 1040, line 33, or Form 1040A, line 18 Publication 970. Irs 1040ez form 2012 deductible home mortgage interest and points reported on Form 1098 Schedule A (Form 1040), line 10 Publication 936. Irs 1040ez form 2012 deductible home mortgage interest not reported on Form 1098 Schedule A (Form 1040), line 11 Publication 936. Irs 1040ez form 2012 deductible points not reported on Form 1098 Schedule A (Form 1040), line 12 Publication 936. Irs 1040ez form 2012 deductible mortgage insurance premiums Schedule A (Form 1040), line 13 Publication 936. Irs 1040ez form 2012 deductible investment interest (other than incurred to produce rents or royalties) Schedule A (Form 1040), line 14 Publication 550. Irs 1040ez form 2012 deductible business interest (non-farm) Schedule C or C-EZ (Form 1040) Publication 535. Irs 1040ez form 2012 deductible farm business interest Schedule F (Form 1040) Publications 225 and 535. Irs 1040ez form 2012 deductible interest incurred to produce rents or royalties Schedule E (Form 1040) Publications 527 and 535. Irs 1040ez form 2012 personal interest not deductible. Irs 1040ez form 2012 Prev  Up  Next   Home   More Online Publications