Reply to Did you end up deducting your prepaid property taxes for 2018?

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[quote=Anonymous][quote=Anonymous][quote=Anonymous]There is a good article in the WSJ this morning about this:

https://www.wsj.com/articles/the-hot-debate-can-you-deduct-prepaid-property-taxes-1522747980

[quote]Then on Dec. 27, the Internal Revenue Service warned that not all prepayments of 2018 property taxes would be deductible on 2017 returns. The agency said that to qualify for a write-off, the tax liability actually had to have been known at the time.

Right away, some tax specialists strongly agreed with the IRS but others strongly disagreed. The IRS and its supporters argued that those who prepaid all their 2018 property taxes can only deduct the portion that was known or determined at the time. In many cases, that means only for a few months of the year or not at all.

The IRS’s opponents argued for higher deductions of reasonable estimates. They based this argument on prior tax rulings and regulations that they think apply to this issue.

Now, three months later, little progress has been made.[/quote]

The bottom line is, no one knows and if you deduct these taxes prepare to be challenged on them by the IRS, who is the ultimate authority here.[/quote]

False.  DC told its residents in advance (prior to 12/31) what they will owe in 2018.  DC residents who deducted are fine.  The rest of you residing in surrounding jurisdictions may be in trouble.[/quote]

Ding ding ding!  All these Marylanders and Virginians trying to sound dire warnings because they played with fire, thanks but no thanks.  DC and the IRS agree - DC homeowners are in the clear.[/quote]

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