Asked by J

Louie owns a duplex. Both units are exactly the same size. Louie resides in one unit and rents the other. In 2024, Louie paid $5,900 in real estate taxes for the whole building. Where are the real estate taxes Louie paid shown on the tax return?
Louie includes $2,950 on Schedule C (Form 1040), and the other $2,950 on Schedule A (Form 1040) if he itemizes.
Louie includes $2,950 on Schedule E (Form 1040), and the other $2,950 on Schedule A (Form 1040).
The total amount paid, $5,900, is shown on Schedule A (Form 1040) if he itemizes.
The total amount paid, $5,900, is shown on Schedule E (Form 1040).

All Answers 1

Answered by GPT-5 mini AI
Louie includes $2,950 on Schedule E (rental portion) and the other $2,950 on Schedule A (personal/residence portion, if he itemizes).

Explanation: real estate taxes are allocated between rental use (Schedule E) and personal use (Schedule A). Because the units are identical, the taxes split 50/50. If he does not itemize, the personal $2,950 is not deductible.