I have a client who was willed his father's home. Up until September 2007, the Father's wife (client's step-mom) lived in the home and paid all expenses including real estate taxes. In September the step-mom moved out, the house became vacant, and my client paid the real estate taxes for the last quarter of 2007. I believe he is eligible to deduct that amount as an itemized deduction on Schedule A, correct? He also deducts his own real estate taxes for his primary residence.
Client is fixing up the home in the hopes of selling or renting it. He incurred substantial expenses during the last quarter of 2007. I believe those costs should be added to the basis, correct?
Thanks so much for your help!! It's nice to have the community back, albeit the "unofficial" one. :lol:
