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Deductions & credits
I ran through the program and there is an area for entering selling expenses, but property taxes are not considered a selling expense. The portion of taxes paid would be carried over to Schedule A. The portion of property taxes when owned does not affect the sale.
The deduction would only be relevant if the taxpayer can itemize.
If the taxpayer uses the Standard Deduction, the property tax paid will make no different on the return.
If the tax is paid after closing, the credit the buyers gets is the amount the seller can claim. In other words, if property tax is 1,200 a year and your close at the end of April, no tax has actually been paid, but the Buyer would get a 400 credit and the Seller would claim 400 property tax paid. The buyer would claim the remaining 800 (or whatever the final property tax amount less 400 turns out to be).
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