No, Texas does not charge tax based on the vehicle’s value. Per the IRS, you can only deduct fees that are calculated based on the vehicle's value, not the weight. You cannot deduct the documentation, inventory tax, and other items mentioned above.
If you bought the car in Texas, but you paid car registration fees in a state that does, you may be able to get this deduction. Just enter the amount you paid on the Vehicle Registration Fees screen.
Please be advised: You may be able to enter the amount you paid for sales tax if you are itemizing deductions. To enter the sales tax amount, please see the steps in the link below.
- Select the Federal Taxes tab
- Click Deductions & Credits
- Scroll down to Estimates & Other Taxes Paid (show more)
- Click Start next to Sales Tax
- From here the software will walk you through adding sales tax paid for the vehicle and other sales taxes paid.
