1098 forms report money you paid for specific purposes to the IRS
A 1098 form is a tax document that reports payments you made during the year for things like mortgage interest, student loan interest, or may have access to tuition. The person or organisation that received your payment sends you a 1098 so you and the IRS both have a record of it. The form shows the amount paid and the tax year it covers.
The IRS uses 1098 forms to verify that deductions you claim on your tax return match what organisations reported. If you claim a deduction for student loan interest but the lender reported a different amount on their 1098-E, the IRS will notice the mismatch.
You do not have to attach a 1098 to your tax return when you file, but you should keep it with your records. If you lose it, you can ask the organisation that issued it for a copy, or you can often read it from their website.
Key Takeaways
- Different 1098 forms track different types of payments: mortgage interest (1098), student loan interest (1098-E), tuition (1098-T), and may have access to charitable distributions from retirement accounts (1098-R).
- The organisation that received your payment is responsible for sending you the 1098 by January 31 of the following year.
- You use the amounts on your 1098 to claim deductions or credits on your tax return, but the form itself does not go to the IRS with your return.
- If the 1098 shows an amount you believe is wrong, contact the issuer to request a corrected form (called a 1098-X or amended 1098).
The four main types of 1098 forms and what they report
The most common is the 1098 (Mortgage Interest Statement), issued by banks and mortgage servicers. It reports the mortgage interest you paid on a primary or secondary home during the year. If you paid points (a fee to lower your interest rate), those appear on the 1098 as well. You use this form to claim the mortgage interest deduction if you itemise deductions on your tax return.
The 1098-E (Student Loan Interest Statement) comes from the organisation that holds your federal or private student loans. It reports the interest you paid during the year, up to a maximum of $2,500 in deductible interest. Even if you do not itemise deductions, you may be able to claim a deduction for student loan interest on your tax return.
The 1098-T (may have access to Tuition and Related Education Expenses Statement) is issued by colleges, universities, and some vocational schools. It reports tuition, fees, and course materials you or a dependent paid during the year. You use this to claim either the American Opportunity Tax Credit or the Lifetime Learning Credit, depending on your situation and income.
The 1098-R (may have access to Charitable Distribution Statement) applies only if you are 70½ or older and made a direct transfer from your IRA to a charity. It reports the amount transferred. This form is less common than the others because it only applies to a specific group of people.
When you receive a 1098 and what to do if you do not get one
Organisations must send you a 1098 by January 31 of the year after you made the payment. For example, if you paid mortgage interest in 2024, you should receive the 1098 by January 31, 2025. If you do not receive it by early February, contact the organisation directly—your lender, school, or servicer—and ask them to send it again or provide the information electronically.
If the organisation says they sent it but you never received it, ask them to confirm your mailing address or email on file. Sometimes forms go to an old address if you moved and did not update your information. You can also log into your online account with the organisation to see if the 1098 is available there.
If you paid the expense but the organisation did not send you a 1098, you can still claim the deduction or credit on your tax return. You will need to provide documentation—a mortgage statement, tuition bill, or loan statement—showing what you paid. The IRS may ask you to verify the amount if they notice a discrepancy.
How to use a 1098 when filing your tax return
For a mortgage interest 1098, add the interest amount to Schedule A (Itemized Deductions) if you itemise rather than take the standard deduction. The standard deduction is often larger, so many people do not use the 1098 at all—they take the standard deduction instead.
For a 1098-E (student loan interest), you report the amount on Form 1040 directly, even if you take the standard deduction. The deduction is limited to $2,500 per year and phases out at higher income levels.
For a 1098-T (tuition), you use the amounts reported to calculate either the American Opportunity Credit (up to $2,500 per student per year) or the Lifetime Learning Credit (up to $2,000 per return per year). You cannot claim both credits for the same student in the same year. The credit you choose depends on your income, the student's grade level, and whether they are pursuing a degree.
Enter the numbers from your 1098 into the corresponding lines on your tax form. If you use tax software, it usually walks you through where each number goes. If you file by hand or with a tax professional, they will know where to place the information.
What to do if your 1098 shows an error
If the amount on your 1098 does not match your records, contact the organisation that issued it right away. Explain the discrepancy and provide documentation—a payment receipt, account statement, or cancelled cheque—showing what you actually paid.
The organisation will either confirm the amount is correct (and you may need to adjust your records) or issue a corrected form. A corrected 1098 is sometimes called a 1098-X or an amended 1098, depending on the type. The organisation will send the corrected form to you and to the IRS, so both records match.
If you have already filed your return and then discover an error on your 1098, you can file an amended return (Form 1040-X) to correct your deduction or credit. You have three years from the original filing date to amend your return.
1098 forms and your tax filing timeline
Because 1098 forms arrive by January 31, you have time to gather them before you file your return. Most people file between February and April, so you will have your 1098s in hand before you need them.
If you are waiting for a 1098 and the important date is approaching, you can file your return without it and then file an amended return once the form arrives. However, this creates extra work, so it is better to wait if you can.
If you file electronically through tax software or a tax professional, the software often imports 1098 information directly from the organisation if you authorise it. This reduces the chance of typing errors and speeds up the process.
Frequently Asked Questions
Do I have to attach my 1098 to my tax return?
No. You keep the 1098 with your records, but you do not send it to the IRS. You enter the amounts from the 1098 into the appropriate lines on your tax forms. The IRS receives a copy of your 1098 directly from the organisation that issued it, so they can cross-check your return.
What if I paid mortgage interest but did not receive a 1098?
Contact your lender or mortgage servicer and ask for a copy. If they confirm they sent it, check your mail and email carefully, including spam folders. If you still cannot find it, you can claim the deduction using your mortgage statement or payment records as proof of what you paid.
Can I claim a deduction for something if I do not have a 1098?
Yes. The 1098 is a record, not a requirement. If you paid student loan interest, tuition, or mortgage interest but did not receive a 1098, you can still claim the deduction or credit using your own documentation—payment receipts, account statements, or loan papers.
What is the difference between a 1098 and a 1099?
A 1098 reports money you paid for a specific purpose (mortgage interest, tuition, student loan interest). A 1099 reports income you earned—interest from a savings account, freelance income, or distributions from retirement accounts. They serve different purposes on your tax return.
If I paid tuition but my school sent a 1098-T showing a different amount, what should I do?
Contact your school's financial aid or bursar office and ask why the amount differs. The 1098-T may not include expenses that do not count toward the credit, such as room and board or student health fees. Once you understand the difference, you can decide whether to use the 1098-T amount or your own records when you file.