Escrow & Title
When an Arizona seller credits the buyer for unpaid property taxes at closing (a proration), the credit appears on the settlement statement as a:
ADebit to the buyer and credit to the seller
BCredit to the buyer and debit to the seller✓ Correct
CDebit to both buyer and seller
DCredit to both buyer and seller
Explanation
A property tax proration for taxes that the seller owes (but the buyer will pay) appears as a credit to the buyer (they receive money for it) and a debit to the seller (the seller owes money for the period they owned the property).
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