Can a 3rd party paying property taxes designate who gets to claim deduction?

[JF1000]

What is the name of your state (only U.S. law)? NY

I paid the property taxes on my brother's house in 2009. He is in NY and I am not.

He is in the process of getting a divorce. If it matters, the wife instigated proceedings in early 2009 and moved out. She has paid nothing toward the mortgage or the taxes.

He is the only one on the note. The house is titled in both names.

If he files as "married filing separately", can he claim 100% of the property-tax deduction?

Thanks for any sage advice...

 

[ShyCat]

If he files as "married filing separately", can he claim 100% of the property-tax deduction?

No, because he didn't pay it. You did, but you're not the owner so you can't deduct it either.

Per IRS Pub. 17,

The following two tests must be met for you to deduct any tax.

* The tax must be imposed on you.

* You must pay the tax during your tax year.

And to answer your title question...

Can a 3rd party paying property taxes designate who gets to claim deduction?

No.

 

[Antigone*]

If you would have loaned your brother the money for him to pay his property taxes he would have gotten the deduction.

 

[JF1000]

Thanks for the replies. Now, in the situation that I described, if they filed "married filing separately" and he paid 100% of the taxes, would she have any standing to deduct any of those taxes on her return?

 

[FlyingRon]

If you would have loaned your brother the money for him to pay his property taxes he would have gotten the deduction.

Or gifted.

 

[FlyingRon]

Thanks for the replies. Now, in the situation that I described, if they filed "married filing separately" and he paid 100% of the taxes, would she have any standing to deduct any of those taxes on her return?

To claim the deduction you must pay them and be obligated to pay them. Now husband and wife usually are pretty fluid even if they are filing separately. They have to work out between themselves who was considered to have paid taxes out.

 

[JF1000]

To claim the deduction you must pay them and be obligated to pay them. Now husband and wife usually are pretty fluid even if they are filing separately. They have to work out between themselves who was considered to have paid taxes out.

What if one spouse pays 100% and wants the entire deduction, and the other objects?

 

[irsos]

This is beginning to look like a homework question.

 

[FlyingRon]

What if one spouse pays 100% and wants the entire deduction, and the other objects?

I'd recommend marriage counselling.

 

[LdiJ]

What is the name of your state (only U.S. law)? NY

I paid the property taxes on my brother's house in 2009. He is in NY and I am not.

He is in the process of getting a divorce. If it matters, the wife instigated proceedings in early 2009 and moved out. She has paid nothing toward the mortgage or the taxes.

He is the only one on the note. The house is titled in both names.

If he files as "married filing separately", can he claim 100% of the property-tax deduction?

Thanks for any sage advice...

If you loaned or gifted the money to your brother to pay the taxes, then I think that your brother is the only one entitled to the deduction.

Why? Because the divorce was instigated in early 2009. Therefore its no longer a "fluid" situation between a husband and wife. Your brother is responsible to pay the taxes AND he paid them, therefore its his deduction only.

 

[JF1000]

If you loaned or gifted the money to your brother to pay the taxes, then I think that your brother is the only one entitled to the deduction.

Why? Because the divorce was instigated in early 2009. Therefore its no longer a "fluid" situation between a husband and wife. Your brother is responsible to pay the taxes AND he paid them, therefore its his deduction only.

Thanks. If there's a dispute, I guess it's up to the IRS to resolve it, eh? Maybe there's a precedent, but I couldn't find anything.