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New Member
posted Jun 5, 2019 10:25:55 PM

Can I claim Arizona sales tax ( TPT ) and local sales tax back when I am building my new home

new construction , owner builder

0 1 1949
1 Replies
Alumni
Jun 5, 2019 10:25:55 PM

You can claim it in the year paid, but only if your total sales taxes are greater than your total income taxes. 

The IRS sales tax tables can have certain additions. These include:

  • a motor vehicle (including a car, motorcycle, motor home, recreational vehicle, sport utility vehicle, truck, van, and off-road vehicle
  • a leased motor vehicle.
  • an aircraft, boat, home (including mobile and prefabricated),
  • or home building materials, if the tax rate was the same as the general sales tax rate.

To do so, however, your state sales taxes still must exceed your state income taxes, as you can only deduct one or the other.

The deduction for sales tax is under the deductions and credits tab. Go to: Deductions and Credits > Estimates and Other Taxes Paid > Sales Tax.

  • Click Update next to Sales Tax.
  • Click Continue.
  • Select Easy Guide
  • Click Edit next to your sales tax rate.
  • Click Continue twice and you will then be on the page where you enter your car or other major purchases.