How do I know what property taxes to deduct from a HUD-1 settlement?

jpaddy1127 · ‎June 3, 2019

Can I tax the adjustments unpaid by the seller portion & can I deduct the city/town, and county taxes on lines 1005 & 1006?

PatriciaV · ‎June 3, 2019

Yes, you may report those expenses listed under your "side" of the HUD-1 Settlement Statement - Buyer on left, Seller on right. If the property taxes were paid out of your proceeds/cash at closing, you may be able to deduct these expenses.

Property Taxes paid by the Buyer may appear on Lines 210-211. Those paid by the Seller would be on Lines 406-407.

Note that the HUD-1 form can be customized so the line numbers may change.

[revised]

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View solution in original post

PatriciaV · ‎June 3, 2019

Yes, you may report those expenses listed under your "side" of the HUD-1 Settlement Statement - Buyer on left, Seller on right. If the property taxes were paid out of your proceeds/cash at closing, you may be able to deduct these expenses.

Property Taxes paid by the Buyer may appear on Lines 210-211. Those paid by the Seller would be on Lines 406-407.

Note that the HUD-1 form can be customized so the line numbers may change.

[revised]

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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How do I know what property taxes to deduct from a HUD-1 settlement?