Is there any advantage to paying my property taxes after the 1rst of the year vs in November when they are due

Answer 1

Generally you can deduct property taxes in the year paid. Taxes due in Jan but paid in Dec are deductible in the year paid. Paying 2 months late will most likely result in penalties that exceed any income tax benefit.

Answer 2

In order to be considered a legally deductible expense on your itemized deduction form (Schedule A), the property tax owed on your residence must be owed by you and paid by you in the applicable tax year. Thus, if you waited until 2007 to pay the December property tax bill, you would incur a 10% penalty by the county recorders office and it would not be considered a legally deductible expense for the 2007 tax year.

Helpful hint:
The IRS has decided to really crack down on Itemized deductions for the latter part of 2006 and following tax years. All amounts of mortgage interest and real estate taxes MUST now be owed by and paid by the person(s) responsible for the money on the secured residence loan. All charitable deductions MUST have a receipt and item donation receipts must list the items and have specific wordage to be a deduction.

Answer 3

it depends on where you live.in most places your bill will show the penaltys you will pay for filing late it is usually located on the bottom of the bill.when dealing with taxes it is ALWAYS advisable to pay on time,any penalty will be paying more than you should