How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Marvin,EA Your Own Question
Marvin,EA, Enrolled Agent
Category: Tax
Satisfied Customers: 1672
Experience:  Enrolled to Represent Taxpayers Before The IRS
Type Your Tax Question Here...
Marvin,EA is online now
A new question is answered every 9 seconds

In April of this year, I refinanced my home loan, it was previously

This answer was rated:

In April of this year, I refinanced my home loan, it was previously a adjustable rate loan. there was a prepayment penalty when the old loan was paid off. I have read that prepayment penalties are tax deductable are they? and also the new loan is a 30 yr fixed FHA loan, and I had to pay a pre paid mortgage insurance premium of 2,000.00 up front, I was told this was also tax deductable, is this so?
Hello and thank you for using Just Answer. You can deduct the prepaid mortgage insurance premium on Sch. A ( .   You should receive a Form 1098 for the insurance premium paid.   A penalty paid for prepaying a mortgage debt is deductible as interest on Sch. A.
Marvin,EA and 5 other Tax Specialists are ready to help you