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New Member
posted Feb 13, 2024 10:29:08 PM

How do I add sales tax to my return?

What kind of items or things can I use to add the sales tax to my return groceries, gas?

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2 Replies
Level 15
Feb 14, 2024 5:36:41 AM

Sales tax is an itemized deduction which will have no effect at all on your tax due or refund unless you have enough other itemized deductions like mortgage interest, etc. to exceed your standard deduction.  You can explore the sales tax deduction here:

 

Federal>Deductions and Credits>Estimates and Other Taxes Paid> Sales Tax.

 

 

Your itemized deductions have to be more than your standard deduction before you will see a change in your tax owed or tax refund.  The deductions you enter do not necessarily count “dollar for dollar;” many of them are subject to meeting  tough thresholds—medical expenses, for example, must meet a threshold that is pretty hard to reach. (Only the amount that is MORE than 7.5% of your AGI counts)   The software program uses all the IRS rules that apply to the expenses you enter, and it tells you if you have enough to use your itemized deductions or if using the standard deduction is more advantageous for you.  Under the new tax laws, some deductions have been capped—there is a $10,000 limit to the itemized deductions for state, local, property and sales taxes.

 

Your standard deduction lowers your taxable income. The standard deduction makes some of your income “tax free.”  It is not a refund.  You will see your standard or itemized deduction amount on line 12 of your 2023 Form 1040.

 

 

 

 

2023 STANDARD DEDUCTION AMOUNTS

 

SINGLE $13,850  (65 or older/legally blind + $1850)

 

MARRIED FILING SEPARATELY $13,850  (65 or older/legally blind + $1500)

 

MARRIED FILING JOINTLY $27,700  (65+/legally blind) )  + $1500 per spouse

 

HEAD OF HOUSEHOLD  $20,800 (65 or older/blind)  + $1850)

 

Level 15
Feb 14, 2024 6:44:43 AM

you can list sales tax for any items for which you have a receipt.

Keep them on file in case IRS wants to see them.

 

@karries-71