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The Service acted quickly to rein in prepayments of real property taxes.

Posted on January 16, 2018 at 1:00 AM

The Service acted quickly to rein in prepayments of real property taxes.

Prepayments are deductible only if the property tax was assessed in 2017,

IRS says. For example, a county assesses 2017-18 property taxes on July 1, 2017, and bills the taxes in two installments, with the second due Jan. 31, 2018. Individuals who prepaid the second installment in 2017 can take a 2017 deduction for the amount.

But people aren’t able to write off 2017 prepayments of 2018-19 property taxes that won’t be assessed until July 1, 2018, even if the county accepted the prepayments.

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