I just want to be sure I understand. You mean real estate taxes, correct? Not tax on equity. It is the whole property value that is typically taxed, not the equity that you own. The city/town doesn't know your mortgage balance.
You can only deduct taxes paid in the year you paid them (unless you are a business operating under the accrual method of accounting).
You only get a benefit from deducting real estate taxes (or any other itemized deduction) if you their total is larger than the standard deduction (2017 $6350 single, $12,700 married). Otherwise you get the larger standard deduct and you are correct that you do not benefit from itemized deductions.
Most (70%) of returns do not itemize.
I just want to be sure I understand. You mean real estate taxes, correct? Not tax on equity. It is the whole property value that is typically taxed, not the equity that you own. The city/town doesn't know your mortgage balance.
You can only deduct taxes paid in the year you paid them (unless you are a business operating under the accrual method of accounting).
You only get a benefit from deducting real estate taxes (or any other itemized deduction) if you their total is larger than the standard deduction (2017 $6350 single, $12,700 married). Otherwise you get the larger standard deduct and you are correct that you do not benefit from itemized deductions.
Most (70%) of returns do not itemize.