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New Member
posted Jun 7, 2019 3:24:04 PM

Why is the state/local income tax deduction more than my state sales tax deduction when WA state does not have any income tax? How does TT calculate these numbers?

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8 Replies
Level 15
Jun 7, 2019 3:24:06 PM

Did you enter any property tax for your home?

New Member
Jun 7, 2019 3:24:07 PM

Yes.  But property tax is not income tax, is it?

Level 15
Jun 7, 2019 3:24:09 PM

Property tax counts towards the $10,000 limit for the deduction of state and local taxes

New Member
Jun 7, 2019 3:24:11 PM

So on the Review, TT asks me to enter Sales Tax Rate -1, instead of 6.5% for WA.  Should I enter 6.5 instead of 1?

New Member
Jun 7, 2019 3:24:11 PM

Thanks!

Level 15
Jun 7, 2019 3:24:12 PM

If your sales tax rate is 6.5% then enter that.

New Member
Jun 7, 2019 3:24:14 PM

ok.  thanks!!

Level 15
Jun 7, 2019 3:24:16 PM

Please see the section explaining SALT --state and local taxes

https://ttlc.intuit.com/questions/4482394-how-will-tax-reform-affect-my-2018-federal-tax-return