CA Property Tax Deduction
Hi,
We’ve recently bought a house in CA and are thinking of paying property tax before year-end and deduct it from our CA taxes. We won’t have enough to itemize Federal taxes, but the amount will be above CA standard deduction. Two questions:
1. Can we still itemize CA deductions even though we’re taking standard Federal deduction? If so, we would also like to include interest paid, as well as charitable contributions.
2. When reporting property tax paid, we do so manually based on the amount paid, correct? There won’t be any forms sent from the County next year.
Thanks.
Comments
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Hi,
You can itemize deductions in California, even though you take the standard deduction on the federal return. As far as reporting property tax paid, you will do so manually based on what was actually paid during 2024.
If you have additional questions, please let us know.
Thank you.
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When I'm entering in property taxes paid what value should I be entering? I purchased a home mid way through 2024 and part of the closing costs I had to reimburse the sellers for the pro-rated property tax that I'd be occupying the home.
Do I just enter in the full value of the property taxes assessed by the county for the entire year?
Do I enter the property taxes that I assumed/paid based on how much of the year I occupied the residence?
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Hi EngineeringFreedom,
You'll enter the total amount of property tax you paid for the property in 2024.
This may be a combination from the purchase (probably shown on your HUD-1 statement) and what was included with your mortgage payment via an escrow account or what you paid separately to the county for the remainder of the year.
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Thank you!
