I received Form 1098 for my mortgage interest. Can I take the Mortgage Interest Credit?
You can only take the Mortgage Interest Credit if you received a Mortgage Credit Certificate (MCC) by a state or local governmental unit or agency under a qualified mortgage credit certificate program.
The home to which the certificate relates must be your main home and also must be located in the jurisdiction of the governmental unit that issued the certificate. If the interest on the mortgage was paid to a related person, you cannot claim the credit. If you only received a Form 1098 for the interest that you paid on your mortgage, you cannot claim the Mortgage Interest Credit. You can, however, take a deduction for the amount of the mortgage interest that you paid.
Note: Certificates issued by the Federal Housing Administration, Department of Veterans Affairs, and Farmers Home Administration, and Homestead Staff Exemption Certificates do not qualify for the credit.
* For additional information regarding the Mortgage Interest Credit, please click here.
* For additional information on the mortgage interest credit AND deduction, please click here.
* For more information on Form 1098- Home Mortgage Interest, please click here.