If someone paid partial cash for my vehicle, and I financed the rest, how do I report the sales tax?
04610
4 Replies
MinhT1
Expert Alumni
Apr 18, 2022 6:23:22 AM
You can deduct the total sales tax shown on this invoice.
Carl
Level 15
Apr 18, 2022 6:25:54 AM
I think @MinhT1 is understanding your post in a different way than I do. Your statement "I financed the rest" indicates to me a seller financed loan. If this is the situation then please clarify so that @MinhT1 can clarify their response if deemed necessary.
haylagmay
New Member
Apr 18, 2022 2:38:03 PM
Thank you @Carl . @MinhT1 to clarify, I did the financing through a bank (the one that the authorized dealership offers financing through). Just to be sure- does this change your answer @MinhT1
Vanessa A
Expert Alumni
Apr 18, 2022 2:49:49 PM
No, financing through a dealership does not change the answer. When you pay sales tax and take on a loan/liability for it, it is considered like you paid for the entire thing even though you are making payments.