U.S. · Tax forms
1099-S box 6 buyer's part of real estate tax.
The box numbers moved. This is how to find the right line and what to do with it.
On the current Form 1099-S, the buyer's part of real estate tax is box 4, and box 6 is the checkbox for services or property received. Publication 523 still describes the old numbering. Either way the rule is the same: subtract the buyer's share from the tax you actually paid in the year of sale, and the rest is what you can use for itemized deductions.
Seller's real estate tax after the buyer's share
Result
Form 1099-S boxes
| Box | What the closing agent reports | Where it matters to you |
|---|---|---|
| Box 1 | Closing date, taken from the Closing Disclosure date where one is used. | Your date of sale for gain and exclusion rules. |
| Box 2a | Total gross proceeds, generally the sales price; the total of boxes 2b and 2c. Not reduced by commissions or other expenses. | Proceeds on Form 8949. |
| Box 3 | Address or legal description of the property. | Matches the property you sold. |
| Box 4 | Buyer's part of real estate tax, for a residence: tax paid in advance that is allocable to the buyer. | Reduces your property tax deduction. |
| Box 5 | Reserved for future use. | Nothing to enter. |
| Box 6 | X if the seller received or will receive services or property (other than cash, notes or digital assets) as part of the consideration. | Tells you the sale included noncash value to add in. |
| Box 7 | X if the seller is a foreign person. | Foreign sellers have separate withholding rules. |
| Box 8a to 8d | Details of any digital asset received as consideration. | Only for sales paid in digital assets. |
Why people search for "box 6"
Publication 523 for 2025 still says that if you received a Form 1099-S you start with the real estate tax you actually paid in the year of sale and subtract the buyer's share "as shown in box 6," and that if "box 4" is checked the sale included noncash payments. The current instructions for the closing agent number those the other way round: box 4 is the buyer's part of real estate tax and box 6 is the checkbox for services or property. The instructions' own example for box 4 still ends with "reported in box 6." So when you read a form, match the label rather than the number.
The arithmetic, with the IRS example
The 1099-S instructions give this case: the county tax is paid annually in advance, the seller paid $1,200 for the year of sale, and the sale occurred at the end of the ninth month of the tax year. Three of twelve months belong to the buyer, so $300 of the advance payment is allocated to the buyer and reported. If you paid $1,200 and the form shows $300, the amount you can use for itemized deductions is $900. The calculator above does the subtraction.
If you did not receive a 1099-S
Publication 523 gives a different method when no Form 1099-S is issued: divide the number of days you owned the property in the year of sale, not counting the sale date, by 365 (366 in a leap year), then multiply by the real estate tax for the 12-month billing cycle that includes the sale date. In the White example, $620 for the year and 125 days owned gives a $212 deduction, and the buyers add the $212 to their basis. The deduction goes on Schedule A (Form 1040).
Not tax advice for your sale
Whether the tax is deductible at all depends on whether you itemize and on other limits. A closing statement from the settlement agent shows the actual proration. Report the sale itself on Form 8949 if you received a Form 1099-S, even when there is no taxable gain.
Where next
To split a tax bill at closing, use the property tax proration calculator. For gain on a home see the home sale exclusion calculator.
Sources
- Instructions for Form 1099-S: Box 2a, Box 4, Box 5 and Box 6.. Read November 2, 2026. (IRS page last reviewed April 30, 2026.)
- Publication 523 (2025): Determine the amount of real estate tax deductions associated with your home sale; If you received Form 1099-S; Reporting Other Income Related to Your Home Sale.. Read November 2, 2026. (IRS page last reviewed April 30, 2026.)
Line and box numbers are those printed in the IRS instructions named above and can change from year to year; match each box by its label.
Frequently asked questions
Which box is the buyer's part of real estate tax on Form 1099-S?
On the current form it is box 4. Some IRS publications still call it box 6, so match the label "Buyer's part of real estate tax."
What is box 6 on Form 1099-S now?
Box 6 is an X if the transferor received or will receive services or property other than cash, notes or digital assets as part of the consideration.
How do I use the buyer's share on my tax return?
Start with real estate tax you actually paid in the year of sale and subtract the buyer's share. Publication 523 says the result is what you can use in figuring itemized deductions on Schedule A.
What if I did not get a Form 1099-S?
Publication 523 prorates by days: days you owned the home in the year of sale, not counting the sale date, divided by 365, times the 12-month real estate tax.
Does the buyer deduct the rest?
Yes. In the Publication 523 example the buyers add the sellers' share to their basis and deduct the part of the year they owned the home.
Not tax advice
This page summarizes IRS instructions, mostly written for the people who prepare the form, and is not tax, legal or financial advice. The payer, a CPA or an enrolled agent can confirm what a box or code means for your return. Everything runs in your browser; nothing you enter is sent anywhere.