Changed homes and home offices during 2022. How do I deal with excess property tax on both home offices?

Forum|Forum|3 years ago
April 13, 2023
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I am on computer version of TurboTax Home & Business. NOT online

I changed homes and home offices in June 1,2022. There was an overlap between the 2 homes so I have entered a prorated Property tax for each home office for the months in the office.

Because of the 2 homes and selling, the total property tax for the year is 18262.73.

House 1 (Office 1) has 3268.74 applied to home office for 5 months prorated from a total of 4903.12.

House 2 (Office 2) has 1039.81 applied to home office for 7 months prorated from a total of 13359.61.

Obviously I have a total Property tax for 2022 of 18262.73, which is 8262.73 excess property tax when filing itemized (which we are). Hitting the 10K limit.

What do I put in the excess property tax for each office? Or do I not put anything?

Do I divide 8262 by 12 and prorate for each office?

Thanks!

DianeW777

No. The home office deduction is not limited by the $10,000 like the itemized deductions. It is limited to business use percentage based on square feet of office divided by the total square feet of the home(s).

The balance should be entered on itemized deductions (total property taxes minus home office portion = amount to use for itemized deductions).

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