We have a purchase transaction and borrower is escrowing for taxes and insurance. On the LE we did not include any prepaids for the taxes because he was escrowing. Just received title work, and the title company is requiring that the buyer pay the 2nd half taxes due on October 15th at closing do to a county requirement with a tax parcel split of land....my question is, do we have to redisclose the LE to include these taxes as prepaid -because they will now have to pay the taxes at closing...or are we ok not to redisclose since the items in Section F have no tolerance requirements?

No redisclosure necessary.
That said, why would the BUYER pay taxes, even for a split?
Shouldn't these be a seller's charge?

since the buyer is taking possession at the end of July they are responsible for the 2nd half taxes due in October for remaining of the year

Only if taxes are for the current year. Here in my state, the second half of 2015 taxes are due in August. That means even for loans closing in July, the seller is responsible for paying the bill due in August.

We end up doing the prepaid due to investors wanting to see the second half or first half depending on the time of year, if they are within 60 days of payment due (April and December). We do show the prorations on the LE under the Adjustments and Other Credits on the second page at the bottom, but don't show it under the Prepaids.

You're missing my point, Vive. If you're talking taxes for the previous year, they're the seller's responsibility to pay, no matter when they're due.

Right, I do agree. My response was aimed towards how we disclose as we are in the same boat as sb1.