Updated October 7, 2026. Quick answer: Form 1098 is the statement a lender sends a borrower to report mortgage interest received during the year. Box 1 is the interest, box 2 the outstanding principal, box 4 a refund of overpaid interest, box 5 mortgage insurance premiums and box 6 points on a home purchase. The lender must file it when it receives $600 or more of interest on a single mortgage.
More IRS forms and schedules for individual filers, read line by line: Form 8396 instructions.
IRS worksheets read line by line: Home Mortgage Interest Limit Worksheet.
Schedule A and Schedule B (Form 1040) for 2025, read line by line: Schedule A lines 5b and 5c, Schedule A lines 5d and 5e and Schedule A line 8a.
Read box by box from the IRS form text: Form 1098-T and 1098-E boxes explained, Form 1098-T box 1 and Form 1098-E box 1.
Read box by box from the IRS instructions: Form 1098 box 5, Form 1098 box 6 and Form 1098 boxes 7, 8, 9.
More IRS forms and schedules, read line by line: Schedule A instructions, Form 1099-MISC instructions and Form 1098-T instructions.
Who sends Form 1098 and when
The form is an information return filed by the lender, not a form the borrower completes. The filer instructions say to “report mortgage interest (including points, defined later) of $600 or more you received during the year in the course of your trade or business from an individual, including a sole proprietor.”
The threshold is per loan, not per person: “File a separate Form 1098 for each mortgage. The $600 threshold applies separately to each mortgage, so you are not required to file Form 1098 for a mortgage on which you have received less than $600 in interest, even if an individual paid you over $600 in total on multiple mortgages.”
An illustration, not an IRS example: a borrower pays $4,000 of interest on one mortgage and $500 on another, $4,500 in total. The first mortgage is over the threshold and the second is below it, so a Form 1098 is required for the first only, though the lender may choose to file for both. The $4,500 total is computed here.
The borrower copy of the form says the same from the receiving side: a lender that “received from you at least $600 of mortgage interest (including certain points) on any one mortgage in the calendar year must furnish this statement to you.”
Boxes 1 to 11 at a glance
The table summarizes the boxes in the order they are printed. It is a condensed reading, and the quoted text in the sections below is the authority.
| Box | Label | What the IRS says it holds |
|---|---|---|
| 1 | Mortgage interest received | Interest received during the year, not points or subsidy payments |
| 2 | Outstanding mortgage principal | Principal as of January 1, or as of origination or acquisition if that came in the year |
| 3 | Mortgage origination date | The date the mortgage originated with the original lender |
| 4 | Refund of overpaid interest | A refund or credit of interest overpaid in a prior year |
| 5 | Mortgage insurance premiums | Qualified premiums of $600 or more |
| 6 | Points paid on purchase of principal residence | Points reportable to you for buying your main home |
| 7 and 8 | Property address | Box 7 is checked if it matches your mailing address, otherwise box 8 shows it |
| 9 | Number of mortgaged properties | Filled in when more than one property secures the loan |
| 10 | Other | Items such as real estate taxes or insurance paid from escrow |
| 11 | Mortgage acquisition date | Only if the lender acquired the mortgage in the year |
Box 1: mortgage interest
The borrower copy describes box 1 as follows: “Shows the mortgage interest received by the recipient/lender during the year.” “This amount includes interest on any obligation secured by real property, including a mortgage, home equity loan, or line of credit.” What it leaves out is also listed: “This amount does not include points, government subsidy payments, or seller payments on a “buydown” mortgage.”
Prepaid interest has a catch. “If you prepaid interest in the calendar year that accrued in full by January 15 of the subsequent year, this prepaid interest may be included in box 1. However, you cannot deduct the prepaid amount in the calendar year paid even though it may be included in box 1.”
Whether the interest is deductible is a separate question: “If the interest was paid on a mortgage, home equity loan, or line of credit secured by a qualified residence, you can only deduct the interest paid on acquisition indebtedness, and you may be subject to a deduction limitation.”
Boxes 2 and 3: principal and origination date
“Shows the outstanding principal on the mortgage as of January 1 of the calendar year.” The form adds that for a mortgage that originated in the year, the figure is the principal as of the date of origination, and for a loan the lender acquired in the year, the principal as of acquisition.
Box 3 is simple: “Shows the date of the mortgage origination.” The filer instructions add that if the lender acquired the mortgage, it should “Enter the date the mortgage originated with the original lender.” The date the lender acquired the loan belongs in box 11.
Boxes 4, 5 and 6: refunds, insurance premiums and points
Box 4 is not a deduction. “Do not deduct this amount. It is a refund (or credit) for overpayment(s) of interest you made in a prior year or years.” The form says you may have to include part or all of it on the Other income line of Schedule 1 if you itemized in the year you paid the interest.
Box 5 holds mortgage insurance premiums: “If an amount is reported in this box, it may qualify to be treated as deductible mortgage interest. See the calendar year Schedule A (Form 1040) instructions and Pub. 936.” The lender reports it when the premiums are “$600 or more paid (received) for the tax year being reported” on a mortgage.
Box 6 covers points on a home purchase: “Not all points are reportable to you. Box 6 shows points you or the seller paid this year for the purchase of your principal residence that are required to be reported to you.” The form continues: “Generally, these points are fully deductible in the year paid, but you must subtract seller-paid points from the basis of your residence.”
Points count toward the $600 threshold. The instructions give this case: “if a borrower pays points of $300 and other mortgage interest of $300, the lender has received $600 of mortgage interest and must file Form 1098.”
Boxes 7 to 11 and the account number
The property boxes identify the collateral. “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 9 is used when more than one property secures the loan. “The interest recipient may use this box to give you other information, such as real estate taxes or insurance paid from escrow.” That sentence describes box 10.
Box 11 is blank unless the loan changed hands: “If you acquired the mortgage in the calendar year, enter the date of acquisition. Otherwise, leave this box blank.” The account number is a lender reference. The filer instructions say it “is required if you have multiple accounts for a payer/borrower”.
Joint loans and how it connects to Schedule A
Only one borrower is the payer of record, but others may share the loan. The form says each borrower “is entitled to deduct only the amount each borrower paid and points paid by the seller that represent each borrower’s share of the amount allowable as a deduction.”
The documents cited here point to Schedule A and Pub. 936 for deducting the interest in box 1 and the amounts in boxes 5 and 6, and do not set out the deduction rules themselves. Whether itemizing beats the standard deduction is a separate comparison; see the 2026 standard deduction page and the 2026 SALT cap page.
Which revision applies
The instructions read for this page are marked Rev. December 2026 and say to use the April 2025 revision of the form. Those are the versions irs.gov served when they were read on 2026-10-07. They are written for the lender that files the form, so the box descriptions below combine those instructions with the borrower copy text printed on the form. “Use the April 2025 revision of Form 1098 and these instructions to file 2026 information with the IRS in early 2027.” “Continue to use these revisions for subsequent years until we issue a superseding revision.”
Every Form 1098 box page in one table
Each row links to the page that reads a Form 1098 box, or the whole form. The right column is the summary each page carries.
| Page | What it covers |
|---|---|
| Form 1098 Boxes Explained: Mortgage Interest Statement | Every box on Form 1098, the mortgage interest statement your lender sends: what each amount is and where it goes, with a page for each box. |
| Form 1098 Box 1: Mortgage Interest and What It Leaves Out | Form 1098 box 1 shows the mortgage interest your lender received. What it includes, what it leaves out, and why the amount may not be fully deductible. |
| Form 1098 Box 2: Outstanding Mortgage Principal Explained | Form 1098 box 2 shows the outstanding principal as of January 1, or as of origination or acquisition. What the IRS sources say about it and the debt limits. |
| Form 1098 Box 3 and Box 11: Origination vs Acquisition Date | Form 1098 box 3 is the date the mortgage originated with the original lender. Box 11 is the date a lender acquired it. How the two differ and when each is used. |
| Form 1098 Box 4: Refund of Overpaid Interest, Not a Deduction | Form 1098 box 4 shows a refund or credit of interest you overpaid in a prior year. Do not deduct it. It may be income if you itemized, and the lender’s example. |
| Form 1098 Box 5: Mortgage Insurance Premiums Explained | Form 1098 box 5 shows mortgage insurance premiums of $600 or more on one mortgage. What counts, why it may not apply for the year, and 2025 vs 2026 wording. |
| Form 1098 Box 6: Points Paid on Purchase of Your Home | Form 1098 box 6 shows points paid to buy your main home. The conditions for reporting, what is left out, seller-paid points and the basis rule. |
| Form 1098 Box 10: Other Items, Real Estate Taxes, Escrow | Form 1098 box 10 is an optional box where the lender may list real estate taxes or insurance paid from escrow. What it is and what it is not. |
| Form 1098 Boxes 7, 8, 9: Property Address and Number | Form 1098 boxes 7, 8 and 9 identify the property securing your mortgage: the same-address check box, the address or description, and the property count. |
| Form 1098-T Box 4: Adjustments Made for a Prior Year | Form 1098-T box 4 shows a refund or reduction tied to a prior year’s tuition, what it can do to a credit you already claimed, and what Pub. 970 says. |
| Form 1098-T Box 5: Scholarships or Grants Explained | Form 1098-T box 5 shows scholarships or grants the school administered: which payments count and how they can reduce an education credit (Pub. 970). |
| Form 1098-T Box 7: January to March Academic Period | Form 1098-T box 7 is a checkbox for payments tied to an academic period starting January to March of the next year, and how Pub. 970 treats them. |
| Form 1098-T Box 8: At Least Half-Time Student | Form 1098-T box 8 is a checkbox for at least half-time enrollment. How the school sets the standard and why Pub. 970 ties it to the American opportunity credit. |
| Form 1098-Q Boxes 1a, 1b and 2: Annuity Amount and Start Date | Form 1098-Q boxes 1a, 1b and 2 show the annuity amount on the start date, the scheduled start date and whether that date may be accelerated. |
| Form 1098-Q Box 3: Total Premiums and the QLAC Limit | Form 1098-Q box 3 shows total premiums paid. The form and Notice 2025-67 print different dollar limits, quoted side by side here. |
| Form 1098-Q Box 4 and Boxes 5a to 5l: Value and Premium Dates | Form 1098-Q box 4 shows the QLAC’s fair market value at December 31, and boxes 5a to 5l show each month’s premium and date. |
| Form 1098-C Boxes 1 to 3: Vehicle Donation Details | Form 1098-C boxes 1 to 3 show the contribution date, the vehicle details and its identification number. Learn what to check and why Copy B matters. |
| Form 1098-C Boxes 4a to 5b: Vehicle Donation Deduction | Form 1098-C boxes 4a, 4c, 5a and 5b show whether the charity sold the vehicle or used it, and which deduction rule applies to your donation. |
| Form 1098-C Boxes 6a to 7: Goods, Services and $500 Limit | Form 1098-C boxes 6a to 7 show whether you got anything in return for the vehicle and when your deduction is held to $500 or less. |
Common mistakes
- Deducting the box 4 amount. The form says not to deduct it, because it refunds interest overpaid in an earlier year.
- Assuming box 1 includes points. The borrower copy says box 1 does not include points, which are reported in box 6 when they relate to the purchase of a principal residence.
- Expecting a Form 1098 for every loan. No form is required for a mortgage with less than $600 of interest, and the lender need not file at all if the interest was not received in the course of a trade or business.
Related: the 2026 standard deduction, the 2026 SALT cap, paying off a mortgage before retiring, and insurance after the mortgage is paid off.
Sources
- Instructions for Form 1098 (Rev. December 2026): https://www.irs.gov/pub/irs-pdf/i1098.pdf
- Form 1098 (Rev. April 2025): https://www.irs.gov/pub/irs-pdf/f1098.pdf
Read from the IRS documents linked above on October 7, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer, the account provider or the IRS is the right place to confirm anything consequential.