Tags: prepay | 2018 property taxes | irs

2018 Property Taxes Prepayments Addressed by IRS

2018 Property Taxes Prepayments Addressed by IRS

People line-up at the tax receiver's office in Hempstead, New York to pay their real estate taxes before the end of the year. (Howard Schnapp/Newsday via AP)

Thursday, 28 December 2017 07:34 AM

The IRS issued guidance on Wednesday that could help homeowners figure out if they can save money by paying next year's local property taxes early.

The federal tax overhaul signed by Republican President Donald Trump last week puts a new $10,000 limit on deductions for state and local taxes, The Associated Press reported.

People in some states have been lining up to pay their 2018 taxes early, hoping for one last shot at the exemption.

The IRS said some homeowners who pay real estate taxes early will be able to claim the deduction, but only if the taxes were assessed, billed and paid in 2017.

The IRS said people can't guess at what next year's assessment might be, pay that amount ahead of time and still get the deduction.

Homeowners were lining up in droves at local tax collection offices, hoping for a last chance to take a major tax deduction before it is wiped out next year.

In Hempstead, New York, the town's tax receiver, Donald Clavin, said "thousands" of people packed his office on Tuesday trying to pay their 2018 property taxes a year in advance.

Similar scenes played out at government offices in towns and counties around the country with high local taxes.

The IRS hasn't yet said how it would handle prepayments.

© Copyright 2018 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

   
1Like our page
2Share
TheWire
The IRS issued guidance on Wednesday that could help homeowners figure out if they can save money by paying next year's local property taxes early.
prepay, 2018 property taxes, irs
216
2017-34-28
Thursday, 28 December 2017 07:34 AM
Newsmax Media, Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
America's News Page
© Newsmax Media, Inc.
All Rights Reserved