topic Does a new HVAC unit count as a major item? in Deductions & credits

What qualifies as "Major Purchase" for Sales Tax Deduction?

Evan25 — Fri, 07 Jun 2019 21:57:33 GMT

Can I count appliances (refrigerator, washer/dryer) and furniture as "Major Purchases" toward the sales tax deduction? Or are there only specific categories that qualify?

Thanks

we bought new tires for a motor coach $6000 worth. is th...

juliaomurray — Fri, 07 Jun 2019 21:57:33 GMT

we bought new tires for a motor coach $6000 worth. is that a major purchase

linear's list is the complete list. No tires.

BobB7 — Fri, 07 Jun 2019 21:57:35 GMT

linear's list is the complete list. No tires.

okay, thank you.

juliaomurray — Fri, 07 Jun 2019 21:57:35 GMT

okay, thank you.

You're welcome.

BobB7 — Fri, 07 Jun 2019 21:57:35 GMT

You're welcome.

But there IS another option. the major items list is thi...

BobB7 — Fri, 07 Jun 2019 21:57:39 GMT

But there IS another option. the major items list is things that you can add to the standard table. If you can show that the actual sales tax exceeds the table then you can use that.

Why does TT claim only "large purchases" qualify? If you...

Arabella-Skywalker — Fri, 07 Jun 2019 21:57:40 GMT

Why does TT claim only "large purchases" qualify? If you read instructions for schedule A, you will see that IRS does not limit sales tax deduction only to large purchases. "Generally, you can deduct the actual
state and local general sales taxes (including compensating use taxes) you paid in 2016 if the tax rate was the same as the general sales tax rate. However, sales taxes on food, clothing, medical supplies, and motor vehicles are deductible as a general sales tax even if the tax rate was less than the general sales tax rate."

furnace purchase

woof-woof — Fri, 07 Jun 2019 21:57:42 GMT

furnace purchase

Appliances and furniture don't qualify. Major purchases i...

linear — Fri, 07 Jun 2019 21:57:43 GMT

Appliances and furniture don't qualify.

Major purchases include:

A motor vehicle (including a car, motorcycle, motor home, recreational vehicle, sport utility vehicle, truck, van, and off-road vehicle)
An aircraft or boat
A home or substantial addition to or major renovation of a home

what is substantial? That is the point of the question?

knduin — Fri, 07 Jun 2019 21:57:45 GMT

what is substantial? That is the point of the question?

Does a new HVAC unit count as a major item?

davidpjohnson — Fri, 07 Jun 2019 21:57:48 GMT

Does a new HVAC unit count as a major item?

Does a new HVAC unit count as a major item for the state...

TaxSam — Fri, 07 Jun 2019 21:57:49 GMT

Does a new HVAC unit count as a major item for the state sales tax calculations?

Re: Does a new HVAC unit count as a major item for the state...

Lightyear66 — Mon, 20 Apr 2020 22:51:25 GMT

I think a new HVAC unit would count as a major renovation. It is not specifically listed but I think this could be considered a major renovation item. I think that the cost of the tax for the materials is likely deductible, but not the cost of installation, assuming you did not do it yourself.

IRS guidance is below:

General Sales Tax You Paid on Specified Additional Items

Enter in the box provided any state and local general sales taxes paid on the following specified items. If you moved during the year, include the total for the year in that box.

A motor vehicle (including a car, motorcycle, motor home, recreational vehicle, sport utility vehicle, truck, van, and off-road vehicle). Also include any state and local general sales taxes paid for a leased motor vehicle. If the state sales tax rate on these items is higher than the general sales tax rate, include only the amount of tax you would have paid at the general sales tax rate.
An aircraft or boat, if the tax rate was the same as the general sales tax rate.
A home (including a mobile home or prefabricated home) or substantial addition to or major renovation of a home, but only if the tax rate was the same as the general sales tax rate and any of the following applies.

Your state or locality imposes a general sales tax directly on the sale of a home or on the cost of a substantial addition or major renovation.
You purchased the materials to build a home or substantial addition or to perform a major renovation and paid the sales tax directly.
Under your state law, your contractor is considered your agent in the construction of the home or substantial addition or the performance of a major renovation. The contract must state that the contractor is authorized to act in your name and must follow your directions on construction decisions. In this case, you will be considered to have purchased any items subject to a sales tax and to have paid the sales tax directly.

Re: What qualifies as "Major Purchase" for Sales Tax Deduction?

Jovan314 — Wed, 23 Feb 2022 13:34:03 GMT

We have purchased a home and needed to purchase & replace the Electrical panel, full steel liner and chimney cap, generator for medical reasons, and a new water softener system. Are these deductible for at least the sales tax deduction as major purchases?

Re: What qualifies as "Major Purchase" for Sales Tax Deduction?

MinhT1 — Wed, 23 Feb 2022 13:58:44 GMT

@Jovan314

The law says that only building materials for a major renovation or substantial addition to a home would qualify for a deduction of sales tax.

If the work to described is only repairs or minor additions, they would not qualify.

Please read this TurboTax Help topic for more information.

As for the generator you bought for medical reasons, it may be deductible as Medical expenses if it is used for medical care.

Please read this TurboTax article for more information.

Re: Appliances and furniture don't qualify. Major purchases i...

Kcseb234 — Mon, 27 Jun 2022 13:43:46 GMT

I paid. 32,894 house off how much of that can I get back next year

Re: Appliances and furniture don't qualify. Major purchases i...

Anonymous_ — Mon, 27 Jun 2022 14:07:01 GMT

@Kcseb234 wrote:

I paid. 32,894 house off how much of that can I get back next year

What did you pay, exactly? If you paid off your mortgage balance, that is a non-factor in your federal income tax liability calculation (you will not "get anything back" for doing so).

Re: Appliances and furniture don't qualify. Major purchases i...

xmasbaby0 — Mon, 27 Jun 2022 15:47:37 GMT

@Kcseb234 And....oddly.....you posted your question to a thread that pertains to sales tax. Are you somehow trying to get a deduction for sales tax by calling the payoff of your mortgage a "major purchase"---or did you just pick this thread at random?

Only the interest paid for a mortgage is deductible---and it only has an effect on your refund or tax due if you also have enough itemized deductions to exceed your standard deduction. The principal you paid off is not an itemized deduction at all, nor is it a "major purchase" for sales tax.

Re: Appliances and furniture don't qualify. Major purchases i...

Arcisle — Mon, 27 Jun 2022 22:57:08 GMT

I bought a car towards the end of 2021 and didn't deduct it then. Am I out of time or can I deduct it this year?

Re: Appliances and furniture don't qualify. Major purchases i...

Anonymous_ — Mon, 27 Jun 2022 23:22:54 GMT

For the purposes of the sales tax deduction, if you did not list the car on your 2021 return, you can either amend or forget it.

You cannot, however, list the car on your 2022 federal income tax return if you bought it in 2021.