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If you took out a loan on a vehicle and put $4000 down, can that still be claimed as a major purchase?

 
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2 Replies
DavidD66
Expert Alumni

If you took out a loan on a vehicle and put $4000 down, can that still be claimed as a major purchase?

Whether you paid cash or financed the vehicle with a $4,000 down payment, or no down payment has no bearing.  You bought it.  You also happen to have a car loan, which is irrelevant as to whether or not it's a major purchase.  So yes, that can still be considered a major purchase.

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If you took out a loan on a vehicle and put $4000 down, can that still be claimed as a major purchase?

The sales tax is deductible.  There is nothing in the tax code that says you have to pay in full.  Even if the sales tax was rolled into the loan, the fact that you are obligated to pay it as part of the loan, means you can deduct it as sales tax (assuming you use the sales tax deduction.)

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