Can I claim the sales tax deduction?
If you're itemizing, you get to choose between deducting your state and local income taxes or your state and local sales taxes. You can't claim both, and you can't claim either one if you're taking the Standard Deduction.
There are two methods for coming up with the amount of sales taxes you paid during the year: add up all your receipts (actual expenses) or use the predetermined IRS amount which is based on your sales tax rate. See IRS Sales Tax Calculator.
If you take the predetermined amount, you get to add the sales taxes you paid for major purchases, like a car, truck, RV, or boat. We'll guide you through this process in the Deductions & Credits section.
If you choose to add up all your receipts, you can claim the sales taxes you paid on just about anything you bought, whether it was purchased online or locally, in-state or out-of-state, big or small.
Keep in mind: The cap on the SALT deduction (which includes sales tax) has changed.
For tax years 2018 through 2024, the deduction was capped at $10,000.
For tax year 2025, the cap has been temporarily increased to $40,000 for most filers (phase out limits may apply).
This means if the combined total of your sales tax, real estate tax, and personal property tax amounts to $15,000 in 2025, you can generally deduct the full $15,000 since it's below the $40,000 cap.
How do you define "major purchase" or "major item" for the sales tax deduction?
When we ask if you bought any major items while living in your state, answer Yes if you purchased:
A motorized vehicle (like a car, truck, RV, or motorcycle—but no mopeds).
An aircraft, boat, mobile home, or manufactured home, but only if you paid the general sales tax rate (otherwise it doesn't apply).
Building materials for a major renovation or substantial addition to a home, if you paid the general sales tax rate yourself or your contractor was authorized to purchase these materials per your instructions or building contract.
Otherwise, answer No, even if the items you purchased were expensive or really big.
