WA sales tax issues...

Forum|Forum|1 year ago
October 30, 2024
1 reply
20 views

WA State Sales Tax varies by municipality. There is a base rate for unincorporated areas like where I live, but I shop in several different areas that each have a higher rate. Turbo Tax will not use large purchase amounts paid outside my very local area when where rates are much higher. Is there a work-around? Can I claim state sales tax at one of the higher rates (7.9% is/was the general rate for Pierce County) in the surrounding municipalities (like Gig Harbor w/8.5ish% or Port Orchard w/9.0ish%)?

Terri Lynn

Level 6

Hello Ebachy!

Yes, there is a way to manually enter a different amount of sales tax.

Here are a few things to keep in mind about the potential sales tax deduction and how you could potentially make an adjustment to the amount:

You have a choice between deducting state/local income taxes or state/local sales taxes - you cannot deduct both.
-You can only claim these deductions if you are itemizing deductions on your tax return, not if you take the standard deduction.
To deduct sales tax, you can either total your receipts for purchases made during the year or use the IRS sales tax tables based on your location and income level.
If using the IRS tables, you can add any sales taxes paid for major purchases like a vehicle, boat, plane, etc. to the amount from the given tables.
For 2018-2025, there is a $10,000 cap on the total deduction for all state and local taxes (including income, sales, real estate, etc. Any amount over $10,000 cannot be deducted.

For more information on this topic, please see:

Please feel free to reach backout with any additional questions or concerns you might have!

Have an amazing rest of your day!

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Please feel free to reach out with any additional questions and . thank you so much for attending! . Please have an amazing rest of your day!Terri H.. **Say "Thanks," by clicking the thumb icon at the bottom of the post.** Mark the post that answered your question by clicking on "Mark as Best Answer.”.