My 1098 has a negative value for Property Taxes. TurboTax won’t allow me to enter the negative value. It says “Must be at least 0.” How do I enter the correct value?

[ejledbet]

Thanks Kris. Are these instructions for TurboTax Premier? When I Click Federal, Wages & Income, scroll down to Other Common Income". I don't see an option for "Show more to open."

I do see "State and Local Tax Refunds on Form 1099-G". And there is no drop down menu

[ejledbet]

I originally entered the refund for my property taxes incorrectly as a positive value under one of the mortgage and interest section. I still see it listed in the Deductions and Credits under Mortgage Interest, Refinancing..." However, Update is not allowing me to edit the Property Tax.

[KrisD · Accepted solution]

If the negative value represents a property tax refund, and the refund was received in 2018, either subtract that amount from property taxes paid in 2018 (if you paid any property taxes in 2018, such as at closing, and the refund is for 2018) or, if you did not pay property tax in 2018, but you did get a refund in 2018 for taxes paid in 2017, enter the refund as a income IF you claimed property taxes paid on your 2017 Federal tax return. In order to have claimed the property taxes on your 2017 return, you would have had to Itemize. If you did not itemize (Schedule A) on your 2017 return, you do not need to claim any refund on your 2018 Federal return.

If you do need to claim the refund (you deducted property taxes on your 2017 return and then got a refund of those property taxes in 2018) Click Federal, Wages & Income, scroll down to Other Common Income and click Show more to open,

Click Start for "Refunds Received for State/Local Tax Returns" 

On the drop down list select "More than one/None"

For Premier Desktop:

Federal Taxes

Wages & Income

Under "1099-MISC and Other Common Income" scroll down and Start for "State and Local Tax Refunds on Form 1099-G" 

Did you get a ...." Yes"

On the following screen, click the State or Locality Drop down 

Please see screen shot below 

[edited 04.01.2019 I 5:52pm]

[ejledbet]

Thanks Kris. Are these instructions for TurboTax Premier? When I Click Federal, Wages & Income, scroll down to Other Common Income". I don't see an option for "Show more to open."

I do see "State and Local Tax Refunds on Form 1099-G". And there is no drop down menu

[KrisD]

Yes, the Premier Desktop will show
Federal Taxes
Wages & Income
Under "1099-MISC and Other Common Income" scroll down and Start for "State and Local Tax Refunds on Form 1099-G"
Did you get a ...." Yes"
On the following screen, click the State or Locality Drop down

Screen shots added to original answer, they can't be added to comments.

[ejledbet]

Thanks. I have a follow on question. Is it better asked in the comments or additional info to the original question?

[KrisD]

We only get a notification through comments

[jill]

I entered a positive value in the property tax box (e.g. $1828.00) and the box immediately changed to a negative $399.95 and the box turned pink.  I can not edit it. I have no idea what is going on and can't find a resolution

[LLC2020]

Hi Kris,

I have a similar situation where my LLC sold a property and a property tax refund was received in escrow.  I didn't pay any property taxes this year for that property; therefore, TurboTax will not let me enter the negative number in my rental real estate worksheet.  So how would I enter this property tax refund in TurboTax Business?

Thank you

[PatriciaV]

The property tax refund you received may be considered Other Income, since you paid no property taxes during the year. You'll find this under the Income section of TurboTax Business, near the bottom of the list, "All Other Income."

[LLC2020]

Thank you Patricia!