Real Estate Investor · Wooster, OH · Member since 2009 · 42 posts · 1 vote
I mistakenly did not generate a 1098 for the mortgage interest for our buyers (2009) on land contract. They don't care, they didn't want to itemize and it wasn't that much interest, but the IRS wants to see it by Monday or they won't give them (and thereby, us) the homebuyer tax credit.
The IRS is the only place you can get these it looks like. You can't print them online. I called IRS and it'll be 7-15 days to get it, too late. Can anyone help?
The IRS has walk-in offices all over; find one nearby and see if they have the forms available for you to pick up.
Or get in touch with your CPA and see if they have the software that will produce this form. Might cost you a few bucks to do it this way, but you sound like you would lose even more.
The 1098 shouldn't have anything to do with the homebuyer's tax credit. They should be able to prove the purchase by contract or title transfer, HUD1, etc. If they paid cash there wouldn't be a 1098 but they would still be eligible for the credit.
Am I missing something because it's a land contract?
This has been going on for months and months due to the IRS' incompetence. We already sent in things to prove that he lives at that address, along with the land contract. Now they want proof we recorded it AND the 1098 AND more info showing he lives at that address by Monday or they are going to deny it. Don't ask me why.....
That pretty much says it all. Land contracts qualify and I believe I saw that on the IRS website. Perhaps they deem the 1098 to be proof that a real land contract does exist.
Remember, this is one of the 'great lies' - "I'm from the government and I'm here to help!"