The Internal Revenue Service
(IRS) permits you to write off either your state and local income tax or sales
taxes when itemizing your deductions. People who live in a state that does not
impose income taxes often benefit most from this deduction. However, you might also be better off
deducting sales taxes instead of income taxes if you make large purchases
during the year and your total sales tax payments exceed those for state income
tax. You can use either the actual
sales taxes you paid or the IRS optional sales tax tables.
To edit the
sales tax deduction:
- go to
Deductions and Credits
- then
Sales Tax Update
- then
Continue
- then Easy
Guide
- this
brings you to the "Places You Lived" screen
- now click
Edit
- then
continue, then continue,
- and now you should be back to the "Enter Major
Purchases" screen.
