CHERRY HILL, N.J. – People in some communities are rushing to pay their property taxes ahead of schedule.
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They’re hoping to be able to deduct the payments from their 2017 federal income taxes.
Under a tax overhaul signed Friday by President Donald Trump, there will be a new $10,000 cap on deductions for state and local taxes starting next year.
That could cost many taxpayers thousands of dollars in high-tax states such as California, Connecticut, Illinois, New Jersey and New York.
In Cherry Hill, New Jersey, Ron Brand paid his 2018 property taxes on Friday with a check for about $15,000. He says it should save him more than $3,000 in federal income taxes.
Some local governments are making it easier to prepay. But taxpayers in Cobb County, Georgia, are being told they can’t do it.
