Sales Tax Deduction

Forum|Forum|3 years ago
February 7, 2023
1 reply
19 views

How does TT calculate the sales tax deduction for Schedule A? I used the IRS sales tax calculator for 2022 and the amount was less than TT. Also, the tables listed is the Schedule A document provided different number. Just want to ensure the TT amount is correct. Total tax for me is 8.3%. It would also be nice to know the calculation IRS uses to calculate the amount.

DMarkM1

Level 15

TurboTax uses the "Optional Sales Tax Tables" in the Schedule A instructions. The IRS "Sales Tax Calculator" also uses the Optional Tables in Schedule A; however, it has not been updated yet to reflect 2022 rates. The IRS site (here) says to check back again after 10 February.

In TurboTax desktop products you can use the forms mode and locate the "Tax and Int Wks." There you will be able to see the calculations match the Tables in Schedule A instructions.

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"