Deductible?

[ILLMAS]

TP fell behind a commercial mortgage, since the property taxes were being escrowed, the bank paid them anyway. TP is working with the bank to add the property taxes paid on his behalf and bank charges to the mortgage, would he be able to deduct them if the bank agrees to tack them to his existing mortgage?

[Guest Taxed]

Was the escrowed amount not sufficient to cover the tax?

Was the escrow payment increased to cover the tax?

Sound like the bank advanced a new loan to cover the shortfall?

At any rate the interest should be deductible.

[michaelmars]

yes they can deduct taxes that are added to the mortgage, no different than if they paid them with a credit card.