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January 25, 2021
Question

Property tax payments

  • January 25, 2021
  • 1 reply
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I have 3 payments showing in 2020 for property taxes, $2,394.32 01-27-20, $2,394.32 07-29-20, and $2,394.32 12-23-20, all paid through escrow. My mortgage was transferred to another company on 09-02-20 so the last payment shows on the new company's 1098, I'm assuming its the first of 2021's tax payments. After inputting the 1098 information from both mortgage companies, it shows a total amount of $7,183.00 but the section is asking for only 2 dates of payment. I know that there is usually only 2 payment for the year, half of the years total for each. How do I handle that? Is it looking for the amount paid in total for the year, or just the amount of two payments? How would I include the date of the third payment?

1 reply

January 25, 2021

You can combine the amounts into the second field to ensure all of the property taxes you have paid during the year are entered. 

 

This will ensure you receive the full tax deduction you are entitled to if you are able to itemize your deductions.  

 

Please be aware the overall itemized deduction allowed for taxes is limited to $10,000.  Anything above this amount will not be deductible.

 

Deductible Income tax limits

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