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I purchased a new car in 2016. How can I deduct the sales tax?

 
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RyanH2
New Member

I purchased a new car in 2016. How can I deduct the sales tax?

Yes, when filing your return you can choose to either deduct your income tax or sales tax. Most people deduct income tax, but in the case that you made several large purchases you will probably receive a larger refund by claiming sales tax.

To enter the tax on your vehicle and other items follow the directions below.

To enter the sales tax deduction:

1. Go to the search bar in the top right and enter "Sales Tax Deduction"

2. Select "Jump to Sales Tax Deduction"

3. Select "Try Sales Tax Deduction Anyways"

4. When asked "How do you want to enter your sales tax info?", select "EasyGuide"

5. Enter your location info and answer the questions

6. Enter your tax rate and continue (Select this link for your state sales tax rate)

7. When asked, "Did you buy any major items?", answer "Yes"

8. You will come to a page titled "Enter Major Purchases". Enter your vehicle here, or add anything else that you've paid sales tax on. Select the Type drop-down box for a list of options.

https://ttlc.intuit.com/replies/3302003



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1 Reply
RyanH2
New Member

I purchased a new car in 2016. How can I deduct the sales tax?

Yes, when filing your return you can choose to either deduct your income tax or sales tax. Most people deduct income tax, but in the case that you made several large purchases you will probably receive a larger refund by claiming sales tax.

To enter the tax on your vehicle and other items follow the directions below.

To enter the sales tax deduction:

1. Go to the search bar in the top right and enter "Sales Tax Deduction"

2. Select "Jump to Sales Tax Deduction"

3. Select "Try Sales Tax Deduction Anyways"

4. When asked "How do you want to enter your sales tax info?", select "EasyGuide"

5. Enter your location info and answer the questions

6. Enter your tax rate and continue (Select this link for your state sales tax rate)

7. When asked, "Did you buy any major items?", answer "Yes"

8. You will come to a page titled "Enter Major Purchases". Enter your vehicle here, or add anything else that you've paid sales tax on. Select the Type drop-down box for a list of options.

https://ttlc.intuit.com/replies/3302003



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