Yes, vehicle registration fees are still allowable in 2021. The portion of your vehicle registration fee which is based on the value of your car can be entered into TurboTax. This TurboTax article shows which states have deductible car registration fees. If you are from one of the states that have deductible vehicle registration fees, enter it into TurboTax by:
- Click on the Search and type in "vehicle registration" and click on the Jump To link.
- Answer Yes to Did you pay any car registration fees in 2021?
- Type in your vehicle make and model and the deductible portion of the vehicle registration fee. If you have more than one vehicle, enter each on a separate row.
Even once you have entered your Vehicle Registration, you may not see an impact on your tax return. If that is the case, the TurboTax system has calculated that you get a better result from taking the standard deduction rather than itemizing your deductions which includes your vehicle registration fee, as well as mortgage interest, property taxes, and other deductions.
