Thanks Carl. To clarify, I did not escrow on my prior residence (though I did receive a 1098 showing interest I paid). Nonetheless, I believe I'm on the same wave length as you regarding the tax concepts at play.
#1. On my old house, I take taxes I paid (not from an escrow b/c I did not have an escrow account for that property), minus any amounts my buyer reimbursed me at closing, and get a net tax deduction amount I may claim for that property.
#2. Next, I take the amount of taxes I paid on the purchase of my new property by virtue of the amount of "adjustments to seller" (or reimbursements as I called them) paid by me to the seller at closing and claim that deduction amount.
I add the tax deduction amount in #1 and #2, and that is the amount of tax I may claim as a deduction. Does that sound right? That's how I figured it on my TT.
When TT asks you to plug in these numbers, from #1 and #2 above, I consolidated those figures and placed that consolidated figure in the Primary Residence field. The only other fields on that screen were for secondary homes and vacation home. Both of these homes were/are my primary residence, so that's why I consolidated the figures into that one box (but for some reason that bothers me.).
