In February of the current year (assume a non- leap year), Ken and Kelsey received their property tax statement for last calendar- year taxes of $1,600, which they paid to the taxing authority on March 1 of the current year. They had purchased their home on May 1 last year. What amount of property tax on this statement may they claim as an itemized deduction this year?

Question

Quizplus · Accepted Answer

The property tax is prorated for the portion of the year that Ken and Kelsey owned the home. They owned the home for 8 months (May 1 to December 31) out of the 12 months in the calendar year. Therefore, they may claim 8/12 of the $1,600 property tax, which is $1,074.

In February of the Current Year (Assume a Non- Leap