According to the executive order, 2018 New York property taxes can be paid in 2017 to enable 2017 federal deductibility of those taxes before 2018 when deductions for combined state income and property taxes will be capped at $10,000.
If you are already subject to the alternative minimum tax for 2017, or such a prepayment would cause you to become subject to it, you may not receive a benefit for either all or part of such a prepayment. We can assist you in determining if a benefit as high as 39.6% of the amount of a prepayment can be derived if you are not certain about the applicability of the alternative minimum tax to your specific situation.
Your taxing jurisdiction’s tax receiver should be contacted regarding amounts that can be prepaid if not yet billed. Taxing jurisdiction websites can also be checked for amounts and instructions to follow.
New York taxpayers, even those subject to the federal alternative minimum tax, will still receive a New York tax benefit for real estate tax payments paid by year end if their allowable New York itemize deductions exceed the New York standard deduction and their New York adjusted gross income is below $1,000,000.
