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New Member
posted Apr 17, 2022 10:36:41 AM

Where do I enter sales tax on a new vehicle bought in 2021?

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2 Replies
Level 15
Apr 17, 2022 10:43:17 AM

SALES TAX

 

You can enter the sales tax you paid for the car you purchased in 2021 by going to Federal>Deductions and Credits>Estimates and Other Taxes Paid> Sales Tax. 

 

 

You will be asked if you paid sales tax on a major purchase, and you will be able to enter the sales tax you paid for your new vehicle. 

Sales tax is an itemized deduction. “Major purchases” that you can enter for the sales tax deduction include:

Motor Vehicles (cars, trucks, motor homes, RV’s, sport utility vehicles and off-road vehicles

Aircraft or boats

Mobile homes

Manufactured housing

Building materials for major home improvements

You cannot deduct: furniture, jewelry, home electronics such as TV’s or computers

https://ttlc.intuit.com/questions/1901222-which-deduction-should-i-choose-sales-tax-or-income-tax

https://ttlc.intuit.com/questions/2566624-how-much-sales-tax-did-i-pay-last-year

https://ttlc.intuit.com/questions/3148443-how-do-you-define-major-purchase-or-major-item-for-the-sales-tax-deduction

https://ttlc.intuit.com/questions/1900791-how-do-i-find-my-local-sales-tax

https://ttlc.intuit.com/questions/2566624-how-much-sales-tax-did-i-pay-last-year

 

 

Expert Alumni
Apr 17, 2022 10:45:52 AM

It is an itemized deduction on Schedule A.

 

If you’re taking the sales tax deduction, here’s how to enter the sales tax you paid:

  1. Open or continue your return
  2. Search for sales tax and select the Jump to link in the search results