Does a landlord pro-rate rental insurance or claim the amount paid in the tax year?

[charjean47]

If I paid $600 on 6/1/24 for 6/1/24 through 5/31/25, do I claim the $600 on my 2024 income tax form?  Say the previous amount was $575.00 for 6/1/23 through 5/31/24, do I claim 151 days @ $239 for January 1 through May 31, 2024 and 214 days @ $352 for June 1, 2024 through December 31, 2024 for a total of $591?  I claim all other expenses as a cash basis; claiming income and expenses in the year paid or received.  Thank you.

[AmyC]

No, a cash basis taxpayer is the most common and the IRS understands things are often paid for a year ahead. There is a "12 month rule" which allows you to prepay your items like insurance up to 12 months ahead and still be deducted as payment in the current year.