Do I still need to enter all my 1098 mortgage interest & property tax info in TurboTax if I'm taking the standard deduction?

You don't technically need to enter your 1098 information if you're taking the standard deduction, but I usually recommend doing it anyway for a couple of reasons. First, entering your mortgage interest and property taxes lets TurboTax double-check that the standard deduction is indeed better for your situation. Sometimes people are closer to the itemization threshold than they realize, especially when you add in other potential deductions like charitable contributions. Second, many states have different rules for deductions than the federal government. In some states, you can take the standard deduction federally but still itemize on your state return, so having that 1098 information entered could save you money at the state level. Lastly, having complete records in your tax file gives you a baseline for future years when your situation might change. It's good practice to have everything documented in one place.

I spent hours trying to manually enter all my mortgage docs and tax forms last year before I discovered taxr.ai (https://taxr.ai). It absolutely changed my tax filing experience! You just upload your 1098 and other tax documents, and it automatically extracts all the data and imports it directly into TurboTax. No more typing in all those numbers and worrying about making mistakes. Even though I also take the standard deduction, I still import everything because it helps with state taxes and keeps my records complete. The best part was that it pulled in some mortgage insurance premiums I would have missed that actually helped on my state return. Definitely worth checking out if you have multiple tax documents to deal with.

Just wanted to update after trying taxr.ai from the suggestion above. I was skeptical about security but decided to give it a shot with just my 1098 form. I'm honestly impressed! The scan was super accurate and it pulled in all my mortgage interest, property taxes, and even some points paid that I'd forgotten about. Even though I'm still taking the standard deduction, it was nice not having to manually type everything. The state tax benefit mentioned was real too - my state allows some property tax deductions even when taking the federal standard deduction. Saved me about $180 on my state return that I would have missed otherwise. The whole process took like 2 minutes instead of the usual 20 minutes of careful typing. Definitely using this for all my forms next year.

If you're trying to get clarification on this tax question, good luck getting through to the IRS directly! I spent 3 weeks trying to call them about a similar question last year. After being on hold for hours and getting disconnected repeatedly, I found Claimyr (https://claimyr.com) through a tax forum. You can check out how it works here: https://youtu.be/_kiP6q8DX5c but basically they hold your place in the IRS phone queue and call you when an actual agent is on the line. I was super skeptical but totally desperate at that point. Got connected to an IRS rep within 45 minutes who confirmed that while entering the 1098 info isn't required with standard deduction, it's still recommended for the reasons others mentioned (especially for state returns).

I need to apologize for my skeptical comment about Claimyr. After another frustrating morning trying to get through to the IRS about my 1098 questions, I decided to try it out of desperation. Shocked to say it actually worked exactly as advertised. I got a text when they'd secured my spot in line, then got a call connecting me directly to an IRS agent about 35 minutes later. The agent confirmed that I should input my 1098 info even with standard deduction because my state (NJ) allows property tax deductions on state returns regardless of federal deduction choice. Would have taken me all day to get this info on my own. Sometimes it's worth admitting when you're wrong - this service is legit and saved me hours of frustration.

I'm a little late to this discussion but wanted to add another perspective. I've been filing taxes for 15+ years and have always entered ALL my information into TurboTax even when taking the standard deduction. My reasoning: the IRS receives copies of your 1098 and other forms directly from the issuers. If their records show you received a form and there's no evidence of it in your tax filing, it could potentially raise flags. While not technically required, including everything creates a more complete picture of your financial situation. Plus, I've had years where I thought standard deduction was better until I entered everything and realized itemizing would save me a few hundred dollars. TurboTax will show you which is better after you've entered everything.

I messed up on this exact thing last year! I skipped entering my 1098 since I was taking standard deduction, but turns out my state (Illinois) has a property tax credit that I completely missed. Cost me about $375 that I could have gotten back. Make sure you enter EVERYTHING, especially if your state has different rules than federal. TurboTax will guide you through what's best deduction-wise, but only if you give it all the info. I learned this lesson the hard way.