Sales taxes are reported as an itemized deduction on Schedule A. The greater of the Sales Taxes reported or the State Income Taxes reported will be used. There is a limit of $10,000 that can be deducted for State and Local Taxes if you are Single or Married Filing Jointly, $5,000 if filing as Married Filing Separately.
The total of all your itemized deductions on Schedule A must be greater than the standard deduction for your filing status to have any tax benefit.
Standard deductions for 2023
Single - $13,850 add $1,850 if age 65 or older
Married Filing Separately - $13,850 add $1,500 if age 65 or older
Married Filing Jointly - $27,700 add $1,500 for each spouse age 65 or older
Head of Household - $20,800 add $1,850 if age 65 or older
