You'll need to sign in or create an account to connect with an expert.
If it is considered a gift from your parents, you may still deduct your real estate taxes as long as you had a legal obligation to pay, such as being on the title to the property. These taxes are part of itemized deductions. You would only itemize if your total deductions exceed the standard deduction for your filing status. State and local taxes, including real estate taxes, are capped at $10,000 per year ($5,000 for married filing separately).
Thank you!. Yes, I do own the home. Thank you for also mentioning the cap too, because the school and property taxes don't exceed 10,000.
It may be advantageous to take the lower itemized for federal because states typically follow federal for deductions. And you May pay less overall taxes when looking at both state and federal together. TurboTax does not take this fact into account. Make sure you test your overall tax electing itemized and standard Deduction on the info wkst
Still have questions?
Questions are answered within a few hours on average.
Post a Question*Must create login to post
Ask questions and learn more about your taxes and finances.
ghoster
New Member
Val1957
New Member
LinJs36
Level 2
mstruzak
Level 2
brantleydavis
New Member
in Education