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State Sales Tax

What is considered a "Major Purchase" for sales tax purposes?

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3 Replies

State Sales Tax

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.   Unless you have enough other itemized deductions like mortgage interest, charity donations, etc. sales tax will have no effect on your refund or tax due.

 

 

“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-sal...

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

 

 

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

State Sales Tax

Thanks mate!

I appreciate your quick reply.  I discovered us much myself with a google search... 

Keep up the good work!   😉

 

State Sales Tax

There is never a "major purchase" rule, if you see that in the program, someone should change it.

 

If you are using the standard sales tax amount (based on your income and location) you can only add specific sales taxes you paid for the purchase of a motor vehicle, an airplane, a home, or a substantial renovation to your home.  

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