Our neighborhood was assessed for sewer, water, and street repair/maintenance and told we could pay the assessment off over a 10 year period with interest.
Every year my Property Tax statement shows a special assessment principal value, and a special assessment interest value on it.
Is either of these deductible, and where is this addressed in Turbo Tax Deluxe?
No. Many states and counties impose local benefit taxes for improvements to property, such as assessments for streets, sidewalks, and sewer lines and include these charges on your property tax bill. You can't deduct these taxes. However, you can increase the cost basis of your property by the amount of the assessment.
No. Many states and counties impose local benefit taxes for improvements to property, such as assessments for streets, sidewalks, and sewer lines and include these charges on your property tax bill. You can't deduct these taxes. However, you can increase the cost basis of your property by the amount of the assessment.
You can deduct the interest of this if the company managing the SSA separates the principle and interest. Horrible advice by saying NO. this person just lost some money if they didn't claim the interest. Which in some cases, is pretty high if the SSA is relatively new.