Why didn't my refund change after I entered sales tax?
Here are a few reasons why this may have happened:
- You still get a bigger refund with the standard deduction
To get a tax benefit from paying sales tax, the amount of your itemized deductions must be more than your standard deduction. We’ll let you know if this changes as you add more info.
- It’s not equal
Entering $50 of deductions doesn’t mean a $50 refund. It’s not a dollar-for-dollar deduction on your taxes owed.
- You owe AMT
This isn’t common, but if you owe Alternative Minimum Tax (AMT), you can’t deduct sales tax.