If my car registration fees in my resident state are not tax deductible, should I skip this step?

[klubertamt04]

I live in Wisconsin, and purchased a new vehicle in June 2015. Since it's not deductible, should I even bother doing this portion?

[MollsBBU · Accepted solution]

You are correct you wouldn't have an amount to enter for car registration fees. However, sales tax paid may be deductible. This is usually only a benefit in states that do not have a state income tax as only the higher of the two is deductible. Alaska, Florida, Nevada, South Dakota, Texas, Washington, and Wyoming don't levy an income tax. Even thoughWisconsin is not on that list, you may choose to enter the information still and TurboTax will calculate which deduction is better for you.

To enter sales tax in to TurboTax:

1. Click the Federal Taxes tab at the top (or the Personal tab if using Home & Business)
2. Then, Deductions & Credits
3. Scroll down to the "Estimates and Other Taxes Paid section", click Show more
4. Next to "Sales Tax" click Start or Update
5. Follow the interview screens to input this information