Easy question?

[Christina]

I live and work in Vermont and own my home. A few years ago I inherited a small vacant lot in a residential area in Kissimmee, Florida. I paid $725 in 2006 property tax for the FL property.

Do I file a Florida state or add it to my Federal tax return to claim this? Or do I just do nothing with it?

Thanks for any help

[winnie]

Federal itemized deduction

This is a federal itemized deduction for property tax, to you deduct at the federal level. FLA doesn't have an income tax. I don't know anything about VT.. They may or may not allow out of state property tax deduction.

[Chief]

No FLorida Income Tax

We in Florida expect tourists to pay a major part of the tax burden. Taxes are ok if the northeners pay it. We also pay fees of every kind you can imagine. Our property taxes are high because we cannot tax residents as much as snow birds. Insurance if you can get it prohibitive. The state owned company charges twice what the commercial companies charge.
People are leaving in droves to other parts of the south. They cannot afford the sunshine and beautiful weather that florida offers. The real estate market is in a depression; you can"t give property away. Bankrupticies are excessive now.
So I advise you not to build on that lot. Hold it until the economy turns around down here.