Can I file real estate taxes that were paid twice in 2016?

[Jmalibu]

We refinanced our house in 2016.  The total 2016 real estate taxes were paid by the closing attorney at closing and reflected on the settlement statement.  The new mortgage lender then also issued a payment for 2016 taxes.  This was also reported on my 1098 from the new lender.  In total, I paid $1523 X 2 in taxes during 2016.  However, the new mortgage company is issuing a refund for the overpayment, but it won't process until 2017.  They will not issue a corrected 2016  Form 1098.  They indicated that the real estate taxes paid in 2017 will be adjusted by the amount of refund or may actually read $0.00 on my 2017 Form 1098.  

Wondering how I report this deduction this year and whether I just take the entire deduction amount (1523 X 2) for 2016 and then next year I will report 0 in real estate taxes.

Also, i have filed a 1040X for 2015 that hasn't finished processing yet, but will have loss carryover deductions.  Do I have to wait until the IRS processes it, in order to file my 2016 taxes and carryover the loss.

[bwa · Accepted solution]

You can deduct them both and report the refund as miscellaneous income next year.

Also, i have filed a 1040X for 2015 that hasn't finished processing yet, but will have loss carryover deductions.  Do I have to wait until the IRS processes it, in order to file my 2016 taxes and carryover the loss.

Assuming you positively elected to carry any loss forward (instead of back), you can assume they will process it as filed or wait - the choice is your.

[Jmalibu]

What if refund isn't physically coming to me, but going back into my escrow account?  Do I still need to report it as misc income in 2017?

[bwa]

It makes no difference.  YOUR escrow account is treated as you and you would need to report the refund.