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Level 1
February 7, 2022
Question

I bought a new car in 2021 and paid 1381.72 in State Sales Tax. Is that deductible and where dord it get posted in Turbo Tax?

  • February 7, 2022
  • 1 reply
  • 11 views
I live in NYS

1 reply

DaveF1006
Level 15
February 8, 2022

Yes, it is deductible if you are able to itemize your deductions. Here is how to report.

  1. Log into Turbo Tax.
  2. Go to federal>deductions and credits.
  3. Estimates and other Taxes Paid
  4. When asked how you want to enter your sales tax, select EasyGuide.
  5. Answer the questions on the next few screens. When you get to the Major Purchases screen, answer Yes.
  6. Follow the onscreen instructions to enter your info.
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Level 2
February 11, 2022

Your instructions only work to #3 I cannot find # 4 " Select EasyGuide" Doesn't seem to be in 2021

Level 15
February 11, 2022

After completing #3, did you click on continue with sales tax? 

 

Does your state have a state income tax? If so, it will usually be higher than the sales taxes even with a major purchase. You can only deduct state income tax or sales taxes not both.