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amc1234
New Member

What property taxes can I claim from the sale of one house and purchase of a new house?

I owned a home last year  (2016) until Dec. 12.  I'm wanting to know exactly what I can claim/deduct on my taxes this year from the sale of my old home and the purchase of a new one.

I also paid my entire tax bill due in 2016 (half in June 2016, half in September 2016).  I'm assuming I claim that amount on my taxes this year, but not sure what (if any) amount from the closing of the houses I bought/sold I can also claim.

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Accepted Solutions
Fern
New Member

What property taxes can I claim from the sale of one house and purchase of a new house?

You can deduct real estate taxes paid in 2016 on your 2016 tax return (the June and September payments).  You can also deduct real estate taxes paid at closing if you are the seller.

For the home you purchased, you can deduct real estate taxes that you paid at closing if those taxes were actually sent to the taxing authority.  If the amount paid was placed in escrow with your mortgage holder, you cannot deduct them until the year they are sent to the taxing authority.

See https://www.irs.gov/publications/p530/ar02.html for more information.

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Fern
New Member

What property taxes can I claim from the sale of one house and purchase of a new house?

You can deduct real estate taxes paid in 2016 on your 2016 tax return (the June and September payments).  You can also deduct real estate taxes paid at closing if you are the seller.

For the home you purchased, you can deduct real estate taxes that you paid at closing if those taxes were actually sent to the taxing authority.  If the amount paid was placed in escrow with your mortgage holder, you cannot deduct them until the year they are sent to the taxing authority.

See https://www.irs.gov/publications/p530/ar02.html for more information.
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