rjs
Level 15
Level 15

Deductions & credits

If you do not deduct the state income taxes paid, then you are paying income tax on it this year instead of paying income tax on it next year. (If you get a state refund, it's possible that only part of the state refund would be taxable next year.)


Why would you not deduct the sales tax? It reduces your tax (or increases your refund) this year, and has no effect on next year.