topic Re: deductions in Deductions & credits

deductions

GSH2019 — Fri, 03 Jul 2020 17:19:52 GMT

My form 1098 says property taxes 3,897 but my towns assessor's office statement says 7,350.

Taxes are paid through/along with mortgage payments. How do I know which amount I'm allowed/supposed to put on the form?

Re: deductions

BillM223 — Fri, 03 Jul 2020 17:44:44 GMT

You need to contact the two agencies involved (the tax assessor's office and the escrow holder).

This may be a situation in which the escrow holder paid it in one year, but the tax assessor didn't receive it until the next year, so lumped two tax payments together.

What should you do in this case? Report payments in the year they were paid, not in the year they were received.

Re: deductions

Anonymous — Fri, 03 Jul 2020 17:55:47 GMT

you could ask the financial institution for a report on your escrow a/c. withdrawals are the tax payments. and the FI is supposed to report them on the date they're withdrawn. there are several possibilities. did you refi or was our mortgage bought by another FI. in that case you should have gotten 2 -1098's. did you buy the house in 2019? in that case it's possible the first part of the taxes was paid by the former owner - you get no deduction for that. it may be that the second half of the taxes aren't due until 2020 when they will be taken out of your escrow a/c. again since they won't be paid until 2020 no 2019 deduction. there are other possibilities so you really need to find out what happened.