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| *Ostroff, Fair and Company>>>United States Taxes |
Is property tax deductible? |
I went to my tax guy this year and he never asked about my property tax. I am owing this year. Is there any *other* way that property tax can be deducted. He never asked me for how much I paid so I don't see how it could have been deducted. You can file a 1040X to claim the real estate tax left off from last year. Real Estate tax goes on Schedule A unless it is a rental property, then Schedule E. Also, don't forget about sales tax. If you bought a vehicle, you can claim those taxes paid on Schedule A as well. Remember, itemized deductions are possible only if they exceed the Standard Deduction. You may need a new tax preparer. Property taxes and mortgage interest are tax deductible if you itemize deductions. It's entirely possible that you don't have enough itemized deductions to make it worthwhile. If your itemized deductions are less than the standard deduction for your filing status, you should use the standard deduction. Addendum: If you paid your property taxes directly your tax guy should have asked about them. He should prepare an amended return on Form 1040X. Since he messed up by not asking, he should do that without charge. It will take about 8 weeks to get the extra refund. it can't be deducted until you pay it because the deduction is made for the year that you actually remitted the funds (it is possible to deduct two years worth in one year) If your property taxes are paid through an escrow account attached to your mortgage, it should be listed on the 1098 from your mortgage company. If that is the case, your 'tax guy' may not have asked because you had already given him the information. If your taxes were paid by your mortgage servicer via an escrow account, the amount would be reported on the same form reporting interest paid. The preparer could have gotten the amount from that form. If that is the case, the amount should be shown on Line 6 of Schedule A-Itemized Deductions. IRS YES THEY ARE DEDUCTIBLE, YOU CAN GET AN AMENDED FORM. YOUR TAX GUY CAN DO IT FOR YOU AND SHOULDN'T COST YOU ANY EXTRA TO DO IT SINCE HE FORGOT TO ASK YOU ABOUT IT TO START WITH. |
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