I suggest you delete the state and allow it to transfer again. Go through the state return to answer any questions that do not flow from the Federal. Skip the questions about property taxes on the state return if they are no different than was claimed on the federal return. Here is how to dele the state return.
You can delete your state return in TurboTax Online as long as you haven't paid or registered yet.
- Sign in and open your return if you don't already have it open.
- From the left menu, select State (if you don't see this menu, select the menu icon in the upper-left) and then select Continue on the Let's get your state taxes done right screen.
- On the Status of your state returns screen select Delete to the right of your state, then answer Yes.
If you don't see the option to delete your state (you'll probably see Edit instead), you've already paid your TurboTax fees (including the state fee) or registered your free version while the state was on your return. If you've done either of these things, you can't delete your state return.
Real estate taxes (also called "property taxes") for your main home, vacation home, or land are an allowable deduction if they're based on the assessed value of the property and the property is for your own personal use. Whether you'll actually get a deduction on your taxes is another story, as several changes enacted by tax reform have impacted this deduction.
For one, you won't be able to deduct your property taxes if you're taking the Standard Deduction.
Even if you itemize, the SALT deduction, which includes property tax, is now capped at $10,000 ($5,000 for couples filing separately). This means taxpayers who live or own property in states with high property taxes may not be getting as big a deduction as they have in years past.
That said, you should still enter your property taxes in TurboTax. We'll figure out what amount, if any, is deductible. Be sure to include property taxes paid at closing as well as the annual property tax paid to your assessor.
- Taxes you paid on property you don't own
- Taxes for rental or business property (instead of entering them in the Deductions & Credits section, you'll claim them as expenses when you get to the rental or business section)
- Taxes for local improvements, like streets or sidewalks
- School taxes, unless they're based on the assessed value of your property
- Taxes for trash collection, libraries, or anything else not directly related to assessed property value
- Taxes on foreign property (tax reform has suspended this deduction for tax years 2018 through 2025)
- If your property taxes are included in your monthly mortgage bill, you can deduct them after your lender has paid the tax to the assessor on your behalf. Contact your lender to find out when they submit your property tax payments (frequently this is done twice a year, but it varies among jurisdictions).
- If you're a member of a co-op, only claim your share of the amount paid by the corporation.
- If you co-own the property with others, split the deduction by what each person paid.
I'm not sure you got the gist of my question, but thanks for trying. We own a single residence, in which we live, in M county. When I was through with most of the state info, it asked about property taxes on our residence in L county. We don't have a residence there. I decided it meant that for that particular county, there were other taxes involved, so I just skipped it.
Even though the software told me that I would likely be taking the standard deduction, it asked for property taxes and automobile registration info anyway. I wish it had told me early on that I didn't need to list charitable donations to get the $300 deduction, so I did. When it got to the review point, it said, "your charitable donations are too high." Huh? It took me to what looked like the paper form and showed that I could only take $300 of it. Why didn't it figure that out and fill it in automatically?
The Turbo Tax program was not designed to calculate the $300 deduction from your charitable contribution amount listed in the deductions and credits section because it is entered as an itemized expense.
To differentiate, the program had no alternative but have you add this in after the program informed that the standard deduction was right for you as you finished the deductions and credits section in your return.
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