[quote=SK in CV][quote=bearishgurl](emphasis added)
The Chief Counsel seems to be stating here that (MR) assessments may be deductible IF
… they are levied for the general public welfare by a proper taxing authority at a like rate on owners of all properties in the taxing authority’s jurisdiction, and if the assessments are not for local benefits (unless for maintenance or interest charges)…
MR isn’t levied “on all properties in the taxing authority’s jurisdiction.” It’s only levied on the properties within CFD’s in which the bonds have not yet been retired.
In addition, MR assessments in CA ARE for local benefits, not “maintenance” because the local jurisdictions (city/county) maintain the public lands within the CFD’s.
However, some of the MR payments service interest charges.
Without further direction from the IRS/FTB, this issue seems like it could be a quagmire for affected taxpayers.[/quote]
The FTB concluded:
“We have removed material from our website that limits the deductibility of real property taxes to taxes imposed on an ad valorem basis.”
Essentially they conceded that based on the IRS letter, MR is deductible.[/quote]
Is that just for the 2012 tax year, until further notice … or forever?
