Can I deduct Arizona State Tax paid to purchase new vehicle

pdc-10295 — Mon, 13 Jan 2020 23:45:46 GMT

Re: Can I deduct Arizona State Tax paid to purchase new vehicle

xmasbaby0 — Tue, 14 Jan 2020 01:06:59 GMT

SALES TAX

You can enter the sales tax you paid for the car you purchased in 2019 by going to Federal>Deductions and Credits>Estimates and Other Taxes Paid> Sales Tax. You will be asked if you paid sales tax on a major purchase, and you will be able to enter the sales tax you paid for your new vehicle.

Sales tax is an itemized deduction. If your state has a state income tax, you have to choose between using the deduction for your state tax paid OR the sales tax deduction, whichever is higher. The TT process will suggest one or the other as you prepare your return. And it is hard to have enough itemized deductions to exceed your standard deduction. Unless all of your itemized deductions exceed your standard deduction, they will have no effect.

“Major purchases” that you can enter for the sales tax deduction include:

Motor Vehicles (cars, trucks, motor homes, RV’s, sport utility vehicles and off-road vehicles

Aircraft or boats

Mobile homes

Manufactured housing

Building materials for major home improvements

You cannot deduct: furniture, jewelry, home electronics such as TV’s or computers

https://ttlc.intuit.com/questions/1901222-which-deduction-should-i-choose-sales-tax-or-income-tax

https://ttlc.intuit.com/questions/2566624-how-much-sales-tax-did-i-pay-last-year

https://ttlc.intuit.com/questions/3148443-how-do-you-define-major-purchase-or-major-item-for-the-sales-tax-deduction

https://ttlc.intuit.com/questions/1900791-how-do-i-find-my-local-sales-tax

https://ttlc.intuit.com/questions/2566624-how-much-sales-tax-did-i-pay-last-year

There is now a $10,000 cap on the state and local taxes you can deduct on your federal return.

Re: Can I deduct Arizona State Tax paid to purchase new vehicle

MinhT — Tue, 14 Jan 2020 15:16:36 GMT

In your itemized deductions, you can opt to deduct state income taxes or state sales taxes.

If you opt for state sales taxes, you can deduct the Arizona sales tax paid on the purchase of a new vehicle (in addition to general sales tax calculated by the IRS calculator). You can use this deduction only if you itemize.

topic Can I deduct Arizona State Tax paid to purchase new vehicle in Deductions & credits

Can I deduct Arizona State Tax paid to purchase new vehicle

Re: Can I deduct Arizona State Tax paid to purchase new vehicle

Re: Can I deduct Arizona State Tax paid to purchase new vehicle