If you are trying to claim an Additional Sales Tax Deduction in your Federal Return for your vehicle purchase, the amount of Sales Tax you paid (as on your contract) is the only number to be concerned about.
You will only receive the Sales Tax Deduction if it is LARGER than the amount of Income Tax you paid on your Wages.
The amount of Sales Tax you were charged most likely was calculated on the Sale Price after the trade in allowance was figured.
Click the link for more info on Sales Tax versus Income Tax.
TurboTax will choose whichever is the larger deduction for you.
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