KrisD15
Expert Alumni

Deductions & credits

Yes, if the taxes were paid, but you included that amount in the refinanced loan, you can claim the taxes that were paid. 

HOWEVER

because part of the new loan was used to pay the taxes, the interest on that portion of the loan cannot be claimed as home mortgage interest. 

 

Example, the loan was 100,000. You refinanced for 105,000 and 5,000 went to pay the property tax. You can only claim the interest on the 100,000 portion of the loan. 

 

The points will be included since points are basically a form of interest. 

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