Closing Costs - Tax Question (with a twist)

[Michael Higgins]

Cannot find the precise question in the forum so, I will throw it out there.  When we closed this year on a long term rental property (after rehab) we bundled the closing costs into the loan.  Since the closing costs were not out of pocket, how is this handled from an accounting/tax perspective?  Also, part of the closing costs include property tax payment.  So, we are looking for feedback, thoughts and learnings from the forum - and of course we are consulting a CPA.