Is property tax on rental property deductable as a business expense?

[bobdrad]

We have a home we rented out all year. Is property tax for that home deductible as a business expense?

[DoninGA]

No, the rental property tax is not a business expense unless you are in the business of renting properties.

The rental property taxes paid is an expense that is entered on Schedule E, Supplemental Income and Loss

Use Schedule E (Form 1040) to report income or loss from rental real estate, royalties, partnerships, S corporations, estates, trusts, and residual interests in real estate mortgage investment conduits (REMICs).

[Carl]

No, the rental property tax is not a business expense unless you are in the business of renting properties.

I know what you mean, but I can also see how others reading it can misunderstand it out of context because of your wording is all.

Property taxes paid on rental property are a deductible rental expense. There is a box in the rental expenses section specifically labeled "real estate taxes" and that's where you enter the property taxes paid.  Note that if the property was converted to rental mid-year, then you may have to prorate the taxes and can only claim 1/12 of the taxes paid in the tax year, for each month the property was in service as a rental.