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Megan C
Megan C, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 16576
Experience:  Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level
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I live in Ohio. I sold a house in 2007 on a land contract.

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I live in Ohio. I sold a house in 2007 on a land contract. The buyer was supposed to get her own loan within 36 months but still hasn't. She informed me recently then all the mortgage statements I have given her should have been 1098 forms. How do I go about getting her 1098 forms for all the past years?
Submitted: 4 years ago.
Category: Tax
Expert:  Megan C replied 4 years ago.
Thanks for asking your question! I'm sorry to hear about your tax issue and I'm going to try my best to help you understand or resolve it.

Thank you for your question, and thank you for using JustAnswer.com. If you did not receive mortgage interest from this individual as a result of your trade or business, then you do not have to file a 1098 form. Based on your question, I do not believe it is necessary for you to file the 1098 form.

For example, banks must file 1098 forms because they are in the business of making money. A real estate developer who sells a house would have to file a 1098 if he loaned money to a buyer in the normal course of his business -which is building houses.

However, if you are a school teacher, and sold your house on a land contract you do not have to file a 1098 form because you did not receive the income as a result of your work as a school teacher. Lending money is not part of your trade or business.

So, you don't need to give her a 1098 form unless you lent money out in the course of your trade or business. You can read more about this, HERE.

Please let me know if you need anything additional. Thanks again for using JustAnswer.com and have a great day.

** Please take a moment to rate my response as "Excellent" so that I may be compensated for assisting you today. Please let me know if my assistance was anything less than "OK Service", as I am compensated based on whether or not I have assisted you with your issue. If you need further clarifications, PLEASE WAIT TO XXXXX UNTIL AFTER RECEIVING FOLLOW UP FROM ME. If I receive anything less than OK Service, I do not get paid. Thank you for your kind understanding in this matter. If you have difficulties rating, then simply respond stating that you are having difficulties rating and thank me for my excellent, good, or ok service and we can get the rating applied by the site. This answer is not to be construed as financial or legal advice. Please contact a local tax professional, and do not rely on this assessment to avoid penalties or to make financial decisions. This is for informational purposes only**
You should be aware that your question, as with most tax questions, can never really be answered completely...addressing all the permutations; that is because of the many assumptions that have to be made I have done my best to determine what I think you are asking and answering it in the most direct and understandable manner possible. If, however, after reviewing the questions, you have any uncertainties or further questions, please do not hesitate to ask.

Expert:  Megan C replied 4 years ago.
Thanks for allowing me the opportunity to help you. Please let me know if I can be of any further assistance to you in this matter. Also if you ever need anything else in the future please Simply enter "MyVirtualCPA" in the subject of your question Thanks again for being a JustAnswer customer
Customer: replied 4 years ago.
Hi again!
Thanks for answering my questiona about the 1098. I understand that I didn't have to send the person I should my house to, on land contract, however, she would like 1098 forms for 2012 but also all the way back to 2007. Is this possible? If so, can you tell me how I go about doing it? I have reported all income on my end when doing my taxes.
Thanks,
Rhonda
Expert:  Megan C replied 4 years ago.
Only banks and financial institutions give these out. She will claim these expenses on the lines on schedule A that are for expenses not reported on form 1098. It would be impossible to go back that far and issue those forms

ThAnks again for using JustAnswer and have a great night.

** Please take a moment to rate my response as "Excellent" so that I may be compensated for assisting you today. Please let me know if my assistance was anything less than "OK Service", as I am compensated based on whether or not I have assisted you with your issue. If you need further clarifications, PLEASE WAIT TO RATE MY ANSWER UNTIL AFTER RECEIVING FOLLOW UP FROM ME. If I receive anything less than OK Service, I do not get paid. Thank you for your kind understanding in this matter. If you have difficulties rating, then simply respond stating that you are having difficulties rating and thank me for my excellent, good, or ok service and we can get the rating applied by the site. This answer is not to be construed as financial or legal advice. Please contact a local tax professional, and do not rely on this assessment to avoid penalties or to make financial decisions. This is for informational purposes only**
You should be aware that your question, as with most tax questions, can never really be answered completely...addressing all the permutations; that is because of the many assumptions that have to be made I have done my best to determine what I think you are asking and answering it in the most direct and understandable manner possible. If, however, after reviewing the questions, you have any uncertainties or further questions, please do not hesitate to ask.
Megan C and other Tax Specialists are ready to help you
Customer: replied 4 years ago.
Ok, so it is impossible for me to get her 1098s. She claims her accountant said I can do it. This all seems strange to me. Your thoughts?
Expert:  Megan C replied 4 years ago.
I would not provide the 1098 forms because you are not receiving interest in the normal course of your trade or business. If you really, really wanted to you could order the forms from 1-800-829-1040 and fill them out. However, I would not file them because you are not required to, and there's penalties for filing them late....and you're late. This just creates more hassle for you with the IRS, trying to get the penalties abated and all of that.

Please let me know if you need anything additional. Thanks again for using JustAnswer.com and have a great day.

** Please take a moment to rate my response as "Excellent" so that I may receive credit for assisting you today. Please let me know if my assistance was anything less than "OK Service", as I am compensated based on whether or not I have assisted you with your issue. If you need further clarifications, PLEASE WAIT TO RATE MY ANSWER UNTIL AFTER RECEIVING FOLLOW UP FROM ME. If I receive anything less than OK Service, I do not get paid. Thank you for your kind understanding in this matter. If you have difficulties rating, then simply respond stating that you are having difficulties rating and thank me for my excellent, good, or ok service and we can get the rating applied by the site. This answer is not financial or legal advice, and must not be used as such. For financial and legal advice, please contact a local professional.*
You should be aware that your question, as with most tax questions, can never really be answered completely...addressing all the permutations; that is because of the many assumptions that have to be made I have done my best to determine what I think you are asking and answering it in the most direct and understandable manner possible. If, however, after reviewing the questions, you have any uncertainties or further questions, please do not hesitate to ask.

Megan C and other Tax Specialists are ready to help you
Expert:  Megan C replied 4 years ago.
Thank you for the positive rating. Please remember me the next time you have a question. Simply enter "MyVirtualCPA" in the subject of your question, and it will be routed directly to me. Thank you again for using JustAnswer