Important News Regarding Property Tax Deductions on Federal Income Taxes
Learn the changes you need to know for 2018 and beyond.
On December 27, 2017, the IRS issued guidelines regarding the deductibility of 2018 tax prepayments.
Nothing has changed for 2017 and the tax bills paid in 2017 remain deductible on your Federal Income Tax.
However, the new guidelines from the IRS announce changes to the 2018 taxes deductibility. Property taxes that are held in escrow until the October tax bill is calculated are no longer deductible.
The Austin American Statesman article about this:
IRS statement dampens Austin-area rush to prepay property taxes
The IRS provides examples at:
IRS Advisory: Prepaid Real Property Taxes May Be Deductible in 2017 if Assessed and Paid in 2017
If you have additional questions about your federal income taxes, we strongly recommend contacting your CPA.
Call or email with questions
AUSTIN (512) 339-6671 info@texasprotax.com HOUSTON (713) 635-9100 houstoninfo@texasprotax.com
For more information:
Texas Protax FAQ
TEXAS.GOV – Comptroller Resources for Taxpayers PROPERTY TAX SYSTEM BASICS
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