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For sales tax percent on a car will I have to calculate percent of the sales tax I paid based on the cost excluding tax or list the state sales tax % rate?

 
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PatriciaV
Employee Tax Expert

For sales tax percent on a car will I have to calculate percent of the sales tax I paid based on the cost excluding tax or list the state sales tax % rate?

Yes, to claim the sales tax paid on the purchase of a new vehicle, you will need to enter the actual sales tax you paid and the sales tax rate (which is not always the state sales tax in your area). Generally, sales tax is listed separately on your purchase receipt. But you may need to calculate the tax rate (sales tax divided by sales price x 100). 

If you don't have this information, you may wish to contact the dealership that sold you the vehicle and request a copy. That will ensure that you enter the correct sales tax. Plus, you will need to keep this receipt with your tax documents for this tax year in case of an IRS audit.

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PatriciaV
Employee Tax Expert

For sales tax percent on a car will I have to calculate percent of the sales tax I paid based on the cost excluding tax or list the state sales tax % rate?

Yes, to claim the sales tax paid on the purchase of a new vehicle, you will need to enter the actual sales tax you paid and the sales tax rate (which is not always the state sales tax in your area). Generally, sales tax is listed separately on your purchase receipt. But you may need to calculate the tax rate (sales tax divided by sales price x 100). 

If you don't have this information, you may wish to contact the dealership that sold you the vehicle and request a copy. That will ensure that you enter the correct sales tax. Plus, you will need to keep this receipt with your tax documents for this tax year in case of an IRS audit.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
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