Re: Real Estate Taxes

"jameseiv" <jameseiv@xxxxxxxxx> wrote:

> Just making sure, so here goes. I had moved in the middle of 2005. I
> did pay my taxes for my former township, but was reimbursed at
> settlement. When I had gotten to settlement for my new home I had to
> repay the taxes paid by the former owner in 2005.
>
> Do I use the Real estate figures from the settlement on my new home to
> figure out the taxes paid for the year 2005?

You use both settlement statements in determining your 2005 deduction:

Taxes paid on old home, minus
Reimbursement from buyer at settlement of old home, plus
Reimbursement to seller at settlement of new home, plus
Taxes paid on new home after settlement.

Remember that payments to an escrow/impound don't enter into this
calculation.
--
Phil Marti
Clarksburg, MD


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