Finance

Have finance questions? Ask a financial expert online.

Ask an Expert,
Get an Answer ASAP!

Are the transfer taxes shown on real estate settlement

Customer Question
statement taxable or deductible (as...
Are the transfer taxes shown on real estate settlement statement taxable or deductible (as the
case may be.?)
Submitted: 2 years ago.Category: Finance
Show More
Show Less
Ask Your Own Finance Question
Answered in 1 hour by:
2/2/2016
Financial Professional: Richard, Tax Attorney replied 2 years ago
Richard
Richard, Tax Attorney
Category: Finance
Satisfied Customers: 57,379
Experience: 29 years of experience as a tax, real estate, and business attorney.
Verified

Good evening. My name is ***** ***** I look forward to helping you.

Pursuant to IRS Publication, real estate transfer taxes and deed stamps are not deductible on your Schedule A if this is the sale of your primary residence or investment property. If this is rental property, these would be deductible. . https://www.irs.gov/taxtopics/tc503.html . But, to the extent the seller pays the these taxes, they can be offset against the selling price to determine gain on sale. And, to the extent paid by buyer, they can be added to the buyer's basis.

Thank you so much for allowing me to help you with your questions. I have done my best to provide information which fully addresses your question. If you have any follow up questions, please ask! If I have fully answered your question(s) to your satisfaction, I would appreciate you rating my service as OK, Good or Excellent (hopefully Good or Excellent). Otherwise, I receive no credit for assisting you today. I thank you in advance for taking the time to provide me a positive rating!

Ask Your Own Finance Question
Was this answer helpful?

How JustAnswer works

step-image
Describe your issueThe assistant will guide you
step-image
Chat 1:1 with a financial professionalLicensed Experts are available 24/7
step-image
100% satisfaction guaranteeGet all the answers you need
Ask Richard Your Own Question
Richard
Richard
Richard, Tax Attorney
Category: Finance
Satisfied Customers: 57,379
57,379 Satisfied Customers
Experience: 29 years of experience as a tax, real estate, and business attorney.

Richard is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

Meet the Experts:

Rakhi Vasavada

Rakhi Vasavada

Financial and Legal Consultant

2,609 satisfied customers

Graduated in law with Emphasis on Finance and have have been working in financial sector for over 12 Years

Megan C

Megan C

Certified Public Accountant (CPA)

2,222 satisfied customers

Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level

Manal Elkhoshkhany

Manal Elkhoshkhany

Tutor

1,933 satisfied customers

More than 5000 online tutoring sessions.

JKCPA

JKCPA

CPA

844 satisfied customers

Bachelors degree and CPA with Accounting experience.

Eric

Eric

Financial Manager

559 satisfied customers

Loan servicing, counseling and real estate expert. Foreclosure Expert and Financial Planner.

R. Klein, EA

R. Klein, EA

Accountant

480 satisfied customers

TurboTax Expert. QuickBooks Certified Pro Advisor

Dimitry K., Esq.

Dimitry K., Esq.

Attorney

332 satisfied customers

NASD Licensed Rep, 1997-2001, Business Attorney

< Previous | Next >

Related Finance Questions
When you are applying for ITIN number using exception 4,
when you are applying for ITIN number using exception 4, what kind of documents you have to send to the IRS with the W7 form?… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
Robin. Working on that national pastime that we know as our
Hello Robin. Working on that national pastime that we know as our income taxes.Are prepaid taxes deductible in the year prepaid? And what other closing costs can I deduct from my 2016 taxes? We closed… read more
TaxRobin
TaxRobin
Vocational, Technical or Trade School
1 satisfied customers
I was threatened that I was going to be sued as a defendant
I was threatened that I was going to be sued as a defendant to a civil law suit involving a motor vehicle accident. The person who threatened to file the suit against me, BUT NEVER FILED, was injured … read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
Are transfer taxes shown on real estate settlement
Are transfer taxes shown on real estate settlement statements (HUD --1) deductible on tax return if they were shown on seller's settlement statement?… read more
keeperumiami
keeperumiami
Sr Financial & Tax Consultant
Bachelor's Degree
1 satisfied customers
If I am an individual W-2 wage earner and I filed Chapter 11
If I am an individual W-2 wage earner and I filed Chapter 11 Bankruptcy, do I have to include that income on my 1041 that is filed as part of the estate?… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
I am receiving an unexpected settlement in the near future
I am receiving an unexpected settlement in the near future and need some advice on how to minimize my tax liability. I intend to give some as gifts to friends that are facing hardships (is that tax de… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
I refinance my home. I paid $5580 for a 2.5 interest rate.
I refinance my home. I paid $5580 for a 2.5 interest rate. $2,636 for getting loan. total $8.216 adjusted origination fees. How much can I deduct?… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
Can taxpayer treat prorated property taxes on settlement statement
Can taxpayer treat prorated property taxes on settlement statement as expense of sale of residence rather than deducting on Schedule A. Taxpayer does not need the Sch A deduction, but does need to red… read more
Megan C
Megan C
Certified Public Accountant (CPA)
Master's Degree
2,222 satisfied customers
I have cancellation of debt as a limited partner in a real
I have cancellation of debt as a limited partner in a real estate partnership that filed it's final partnership return 12/31/11. The K1 line 11 E showed 40k. The assets were transferred to a REIT of w… read more
Shawn P. Adamo
Shawn P. Adamo
CEO
Bachelor's Degree
18 satisfied customers
With dual citizenship Canadian/American and a structured settlement
With dual citizenship Canadian/American and a structured settlement in the US, how can I best shelter that income for early retirement and make it grow hopefully. I plan to retire back to Canada in a … read more
Rakhi Vasavada
Rakhi Vasavada
Financial and Legal Consultant
Bachelor's Degree
2,609 satisfied customers
I rent out a house in PA that I own. I collect and pay PA sales/occupany
I rent out a house in PA that I own. I collect and pay PA sales/occupany tax on this revenue. When I give my accountant the revenue from these rentals, do I include the sales/occupancy tax I collected… read more
Charles Greiner
Charles Greiner
Owner
Bachelor's Degree
2,436 satisfied customers
I have Line of Credid with my Bank for $500K. Settlement happened
I have Line of Credid with my Bank for $500K. Settlement happened at March 2008. At the time of Settlement I paid my Real Estat Taxes up to February 2009. Then, on February 5, 2009, I paid my Real Est… read more
Milan Vaishnav
Milan Vaishnav
Consulting Technical Analyst
Bachelor's Degree
536 satisfied customers
in a wrongful death suit, are settlement funds automatically
in a wrongful death suit, are settlement funds automatically tax sheltered once dispensed to a Trust? What are the tax implications for payments receved by they payee for emergencies or life events su… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
i have 30000 dollars in unsecured loans and credit cards.
i have 30000 dollars in unsecured loans and credit cards. what will happen if i stop payments. i know bad credit .… read more
Dennis M. Smith
Dennis M. Smith
Retired
Bachelor Degree
1,293 satisfied customers
Have a Company that I have One real estate in it. I want ...
Have a Company that I have One real estate in it. I want to Dissolve the Company. would like to know the following. 1. When I transfer the Real Estate "OUT" of my company which I own 100% and into per… read more
Dennis M. Smith
Dennis M. Smith
Retired
Bachelor Degree
1,293 satisfied customers
Just transferred overseas and not sure what to do with ...
Just transferred overseas and not sure what to do with house in US - Sell rent etc. If sell what to do with money… read more
Dennis M. Smith
Dennis M. Smith
Retired
Bachelor Degree
1,293 satisfied customers
Are taxes paid on a class action lawsuit settlement?
I received a settlement from a class action lawsuit...then got a 1099 for that same amount. My out of pocket expense is much greater than settlement amount...this is for exterior stucco repairs, Dryvi… read more
The Geezer
The Geezer
Master's Degree
120 satisfied customers
I was given a drug that caused me to develop diabetes, ...
I was given a drug that caused me to develop diabetes, there was a class action suit against the drug company. I was part of that suit and received a settlement of $26,000.00. Do I have to pay taxes o… read more
RD
RD
Self Employed
Master's Degree
1,164 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less

Ask Your Question

x