Mortgage Insurance Premiums Reporting and Form 1098 for Tax Year 2012 -- 16-JAN-2013
Section 204 of the American Taxpayer Relief Act of 2012 extended the treatment of mortgage insurance premiums as qualified residence interest through December 31, 2013.
Properly labeled, mortgage insurance premiums should be reported in box 4 on the 2012 Form 1098. Use a dollar sign ($) to report the premiums paid by the borrower in 2012.
Borrowers who receive Form 1098 should see the Schedule A (Form 1040) instructions for using this information to prepare their tax returns.
Electronic filers who use the FIRE system to report the Form 1098 information to the IRS should see Announcement 2013-10, which will appear in IR Bulletin 2013-3 on January 14, 2013, for reporting instructions.