- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Who claims property taxes when a Quit Claim Deed is involved?
My Dad is living in a home/property that was put into a Quit Claim Deed in my name. There is no debt as the home/property was paid off almost 20 years ago. He pays all his living expenses and the property taxes. Can he claim the entire amount or can he only claim half of it because the Quit Claim Deed is in my name?
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Deductions & credits
In order to claim the property taxes, you must be both liable for the debt and pay the debt. Neither of you can claim them. In the future, have your father gift you the money and then you pay them.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Deductions & credits
There is no dept. The property and home have been paid off for about 20 years. There is only his living expenses which he pays for all of it. He pays the property taxes.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Deductions & credits
My dad pays the property taxes to the taxing authority. On his WI Form 1, Line 13b, 'Property Taxes Paid on home in 2020', can he enter the the entire amount that he paid?
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Deductions & credits
As I said, no. From Schedule A instructions.
Enter on line 5b the state and local taxes you paid on real estate you own. He doesn't own the property and you didn't pay the taxes.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Deductions & credits
Does it make a difference if in the QCD it states "Dad's name" shall remain responsible for real estate taxes, insurance and maintenance of the said real estate during his lifetime."?
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Deductions & credits
You need to see an attorney. The IRS is clear as to their instructions. If there is some legalese in the QCD, then that needs to be addressed elsewhere.