There are several types of Internal Revenue Service (IRS) Form 1098. The basic form is used by taxpayers to report interest received from mortgages through business activities. Only the person receiving interest and mortgage payments needs to file this form, and only in certain instances. Other forms in the 1098 series deal with donations of vehicles for charitable purposes and with educational loan and tuition tax-credit issues.
Only a person who receives mortgage interest payments through owning a business or participating in trade must file Form 1098. Taxpayers who are paying interest on mortgages do not need to file this form, according to the IRS.
Form 1098 only needs to be filed if you received more than $600 from a given mortgage. According to the IRS, each mortgage interest annual amount over $600 must have its own Form 1098.
Form 1098, available on the IRS website, is less than half a page long. It asks for the interest receiver's name, address and tax identification number, the payee's name and address, the amount of interest received, and any overpayment or refund.
Other 1098 Series Forms
The original Form 1098 is intended for receivers of mortgage interest, but the IRS now issues three other 1098 forms: 1098-C dealing with donations of airplanes, cars and boats for charitable purposes; 1098-E for reporting student-loan interest, and 1098-T used by universities to report tuition payments and determine students' eligibility for education tax credits under certain programs.