Escrow & Title

A property tax in Connecticut that has not been paid by the seller at the time of closing would appear as:

AA credit to the buyer
BA debit to the seller and a credit to the buyer✓ Correct
CA credit to the seller
DNo adjustment—taxes are always current

Explanation

Unpaid property taxes (accrued but not yet paid) are debited to the seller (who owes them) and credited to the buyer (who will have to pay them or who will benefit from the reduction in price).

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