If you collected the tax and then paid it to the taxing authority, you should include it as part of your income and then deduct it as a rental expense.
As you go through the Schedule E, there is an entry to report 'other taxes' where you could enter the amount of the tax. Or, enter it as a Miscellaneous Expenses where you can enter your own description and amount. That way you can be certain what the amount represents.
@jimgurman
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
