Property tax in 1098 is not accurate?

[skrud1121]

I have a question about the property tax I paid in 2023.

In 2022, due to an error, I accidentally paid my quarterly property tax twice. Let's call this overpayment A.

In 2023, the total property tax amount should have been B. However, there was an existing overpayment balance from 2022. Therefore, only the difference (B minus A) was billed, and I paid this amount (B minus A). As a result, my 1098 form reflects the amount paid (B minus A).

In this situation, which amount should I report on my tax return? I believe I should report the total property tax amount (B), even though my actual payment was the difference (B minus A).

Can you give me some advice on this situation?

[ThomasM125]

You should report the amount that was assessed and paid during the year. You can't deduct the amount paid in the previous year. 

[skrud1121]

Thank you for your quick response.

The tax assessed for 2023 was B. However, I had an overpayment of A from 2022. Therefore, I only paid the net amount of (B - A).

In this case, can I deduct the full amount B, or just the net amount I paid, which is (B - A)?

[ThomasM125 · Accepted solution]

Just the net amount, the amount you paid in 2023.