No rent is collected on my parents home if this makes a difference. Also, I'm already claiming a deduction on the property taxes I paid for my primary home.
Yes, you may deduct the property tax as an itemized deduction since it is only being used for personal use. Please see the FAQ below for more information.
Can I deduct real estate tax? https://ttlc.intuit.com/replies/3300663
I have the same situation, except I have a small mortgage on my parent house, that I pay. I did as the turbo tax response said. Now however I need to sell the house and by them a smaller condo, I plan to roll the profits from this home into the condo. My real estate agent suggested doing a 1031 exchange tp ease the capital gains. But I don’t have the property listed as an investment property. Would it still be eligible? Or will I just owe the capital gains even though I am reinvesting?
If this was never a RENTAL property then a 1031 exchange would not be appropriate ... so if this was a second home that you let your parents live in you will have a reportable sale on which capital gains will be taxed. Purchasing another property with the proceeds of the sale are immaterial.