Real Estate Taxes Paid

[Deiderann]

Jane Doe owns real property upon which her adult son owns a business.  Additionally, on the real property is a house to which Jane Doe has title and in which her adult son lives.  Jane Doe has no interest (ownership or otherwise) in the business.  Jane Doe pays 100% of the real estate taxes on the real property.  Adult son pays no rent; adult son is responsible for upkeep, maintenance, and insurance.  Can the real estate taxes paid on this property be used as a deduction on Schedule A for Jane Doe's taxes?

[KathrynG3]

It depends. If the son claimed a home office expense for the business using the simplified method, and no portion was used as a business expense, then Jane Doe's deduction would not be limited. She could deduct the full amount of real estate taxes she paid for the property in 2019.

The adult son would not have been able to claim any deduction for the real estate tax which he did not pay.

2019 Schedule A Instructions, page 7 middle column state: "Enter on line 5b the state and local taxes you paid on real estate you own that wasn't used for business, but only if the taxes are assessed uniformly at a like rate on all real property throughout the community, and the proceeds are used for general community or governmental purposes. Pub. 530 explains the deductions homeowners can take."

Additional resources:

2019 IRS Publication 587 Business Use of Your Home

2019 IRS Publication 530 Tax Information for Homeowners

[Hal_Al]

 Can the real estate taxes paid on this property be used as a deduction on Schedule A for Jane Doe's taxes?

The answer is a straight forward yes. Jane owns the property and paid the taxes.  Nothing described in the post changes that.  Whether the business owner claims a home office deduction, and how much, is his issue, not Jane's.