I own a 2 flat building in IL. I live in 1 unit, and rent out the 2nd unit. Where should I list the real estate taxes that I paid; on my federal or state return or both?

[JulieH1 · Accepted solution]

It is nice that you have 2 units, so it makes the math easy.  You list half of the property taxes on your personal return on Schedule A (itemized deductions -instructions below) and the other half on your rental go on Schedule E for the Federal Returns.  TurboTax will transfer them to the state return for you.

Yes, you can record personal property taxes.

To jump directly to that section of your tax return:

1. Select the TurboTax "Search" button located near the top right of your screen
2. Type "personal property taxes" into the search box
3. Pick "Jump to personal property taxes" from the dropdown results list
4. On the "Property Taxes Paid on Boats and Planes" screen, scroll down and press the "Yes" button.   Real estate tax and property tax are the same thing. The IRS uses the term "real estate tax", but most people call it "property tax".

Your Real Taxes Paid on your Rental Property should be entered in TurboTax Premier as follows: 

1. Click the Federal Taxes tab
2. Click Wages & Income
3. Scroll down to the Rental Properties and Royalties section
4. Click the blue Show More for this section 
5. Click Start (or Revisit) next to Rental Properties and Royalties
6. Click Yes
7. Click Continue
8. Click the blue Edit button next to the rental you need to add expenses for
9. Click Continue until you come the screen shown in the first attachment below
10. Click Start (or Update) next to Expenses (see first attachment)
11. Click I'll choose what I work on
12. You can enter your real estate taxes on the next screen (see second attachment)

[skburwell]

Thanks so much!

[JulieH1]

You are welcome. Good luck