Are city plan fees or school fees based on square footage deductible for new home construction

[daveschmidt59]

Major home remodel in San Diego. We paid over $6500 to the Unified school district

and also to the planning department for fees. It seems that the school fees would at least be considered a local tax.

[JohnW15 · Accepted solution]

Unfortunately, these aren't deductible on your return. 

However they can be added to the basis of your property, which could be a tax benefit if and when you sell your home.