because SALT (state and local income taxes) deduction is limited to $10,000 ($5,000 if married filing separately) it really depends on whether you have other taxes such as state income taxes and whether you have enough in itemized deductions to make itemized worthwhile. Another trap could be the alternative minimum tax which can negate or reduce the benefit of the SALT deduction. H&R may not have given the whole story about bundling real estate taxes. Under the tax laws for those taxes to be deductible it must both be paid an assessed. Prepayments generally can be deducted in the year paid if the taxpayer is on the cash basis and the taxing authorities do not treat it as a deposit. some jurisdictions,like where i live, limit the prepayment to 1/2 the prior year taxes. pay more and the entire prepayment is rejected.
