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New Member
posted Jun 3, 2019 12:21:54 PM

I'm looking at our Michigan Vehicle Registration for 2017. We paid 170.00. How much of this amount can we put for the deduction? Thank You.

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1 Best answer
New Member
Jun 3, 2019 12:21:55 PM

Unfortunately, without seeing the registration, I cannot tell you for sure but I can tell you how to figure it out.

Here is how you decide:

 A portion of the registration fee must be charged based on the vehicle's value to be deductible—as opposed to its size, age or other characteristics. If part of your registration is indeed deductible, you must itemize your deductions to claim it, rather than using the standard deduction.

Value-based fees

Every state has its own way of calculating the registration fee on a vehicle, and those calculations typically take several factors into account. 

For example, say your annual car registration fee is based on a formula that charges $2 per 100 pounds of vehicle weight, $1 per $1,000 of value, a flat $10 for license plate tabs, and $35 in other taxes and charges. If you had a 4,200-pound vehicle with a value estimated by the state at $25,000, then your fee would be $154 ($84 plus $25 plus $10 plus $35). Of that, only $25 would be an itemized deduction, because that's the only portion based on the actual value of the vehicle.

1 Replies
New Member
Jun 3, 2019 12:21:55 PM

Unfortunately, without seeing the registration, I cannot tell you for sure but I can tell you how to figure it out.

Here is how you decide:

 A portion of the registration fee must be charged based on the vehicle's value to be deductible—as opposed to its size, age or other characteristics. If part of your registration is indeed deductible, you must itemize your deductions to claim it, rather than using the standard deduction.

Value-based fees

Every state has its own way of calculating the registration fee on a vehicle, and those calculations typically take several factors into account. 

For example, say your annual car registration fee is based on a formula that charges $2 per 100 pounds of vehicle weight, $1 per $1,000 of value, a flat $10 for license plate tabs, and $35 in other taxes and charges. If you had a 4,200-pound vehicle with a value estimated by the state at $25,000, then your fee would be $154 ($84 plus $25 plus $10 plus $35). Of that, only $25 would be an itemized deduction, because that's the only portion based on the actual value of the vehicle.