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Michigan Vehicle Registration Fee

I'm using TurboTax Deluxe 2024, with all the latest updates.  I've entered my income and deductions and run the smart check.  On the Federal Tax review summary page, TurboTax shows I'm getting the standard deduction both this year and last year.  On the Vehicle Registration Fee line, last year it is showing a $400 deduction, but this year it is $0 with no explanation.  On the Federal Taxes Deductions & Credit page TutboTax shows a deduction of $320 this year.

 

Unfortunately there is no explanation why I'm not getting the deduction.  From what I understand, the registration fee should be added to the deduction.  Thoughts?  Is this a bug?

 

Any ideas?

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1 Reply

Michigan Vehicle Registration Fee

@Maple_Syrup 

 

The Deductions&Credits page just shows that $320 was entered to be used "potentially"....if and only if you have entered enough deductions such that "Itemized" deductions will be used when everything has been entered.

 

Thus, if you had not entered enough other deductions yet, when you first entered your Veh reg taxes/fees, the internal text would show that $0 would be used....at least at that point in time.

 

If you are certain that you will eventually be using Itemized deductions this year...keep entering them all...and then com back at the end of everything, and step thru that Veh set of questions again to see what it says.....but you'll have to be certain that the itemized deductions you have entered, have exceeded the std deduction first.

 

For MFJ, the Std Deduction for 2024 is just a bit over $29,000 (if both spouses are under age 65).

 

See:

 

What's my standard deduction for 2024?

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
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