The IRS Deductions Blog

Posts Tagged ‘cars’

Question: State sales tax paid on an auto. Deductible?

I will be itemizing my taxes for the first time this year as a new homeowner. I purchased an auto last year but only used my standard decuction. Is it possible to deduct taxes paid last year on the auto in 2007 on my 2008 taxes this year. Thanks in advance for any help.

Answer: No.

Each year (1/1-12/31) stands on its own.

Items on Amazon Right Now for Deductible Auto Sales Tax:

PPG Reports Strong Second Quarter 2010 Financial Results

PITTSBURGH—-PPG Industries today reported sales for the second quarter of $3.5 billion, an increase of 11 percent versus the prior year’s second quarter. Second quarter reported net income was $272 million, or $1.63 per share.

Tax Break for New Car Purchases and Tax Relief for Hardworking Americans with IRS Problems

Question: Where do I deduct my auto sales tax when filing?

I purchased a car in 2008 and now that I am filing my taxes online, I can’t find the option to deduct my sales tax. I live in TN. Does anyone know if I can make this deduction and where?
I am itemizing this year. I am using H& R but am not sure where in that process I would enter my sales tax information.

Answer: You may only claim sales tax if you do not deduct state income tax. If you itemize, you would checkout Publication 600 from the IRS to get the amount of sales tax you can claim and then add the sales tax generated by the auto. If the total is more than you paid in state/local income tax, then you should take the sales tax deduction, if not, you would want the income tax deduction.

All this assumes that you itemize your deductions. If you do not itemize, then you can’t claim the sales tax or income tax deduction.

Items on Amazon Right Now for Tax Deduction Auto Sales Tax:

Press Briefing by Press Secretary Robert Gibbs, 7/14/2010

See below for answers to questions(marked with an asterisk) posed in the briefing that required follow up.   *The meeting lasted roughly an hour, and Valerie Jarrett also attended.     **By the day of groundbreaking, Compact Power estimates it will employ 70 in construction jobs.  This will rise to 200 by September and 300 at the peak of construction.  The factory will hire more than 300 full …

Recovery: Vehicle Tax Deduction-Claim It January 2010

Question: does car insurance company ever have tophysically see ur car after you have paid a deductible for a windshield?

replacement?

Answer: No, the glass replacement shop bills the insurance company. Why would they waste their time for a windshield replacement? Collision, is where they look at the car, for an estimate.

Items on Amazon Right Now for Windshield Replacement Deductible:

Road Warrior: Two MVC rules and 8 more driving tips

“The wait will be two hours,” said an MVC employee. “Try Oakland. They rarely have lines.” So, I scampered 20 minutes by car to Oakland’s Mall at Copper Tree to become the sixth victim in a line that barely reached out the door.

san bernardino ca paintless dent removal pdr collision repair wheel repair windshield

Question: Tax Deductions for a former RE agent?

I was a real estate agent at the beginning of the year of 2009, but unfortunately due to the slow market, I made no sales but racked up a ton of related bills. I understand that these things are tax deductible, but I made no income from my brief time there. Am I still eligible for any deductions seeing as how I made no income from the job and still had to pay bills and taxes, etc. Thanks in advance for any and all pertinent answers.
To clarify, I only started as an RE agent this year and since I made no headway I had no choice but to find a new job in order to recoup my losses incurred while being an RE agent.

Answer: If you had income last year from being an RE agent, the IRS is going to understand if you had no sales this year.

In fact, if you have substantial negative income, you may have a Net Operating Loss that you can carry back to prior years.

Items on Amazon Right Now for Sales Tax Deduction In 2009:

Email Newsletters

The U.S. House of Representatives is expected to vote soon on legislation that includes a number of tax provisions vital to farmers and rural America.

Question: How do I claim the out-of-state sales tax on a new car purchase on my taxes?

I bought a new car in Florida but transferred a plate for Michigan. I had to pay sales tax for BOTH states at the time of purchase. I was told I would get the FL tax $ back when I filed for 2008. Can I only get it back if I have enough in itemized Tax Deductions??”

Answer: Unfortunately, this is an addon to the sales tax deduction–which only helps you if you itemize for 2008.

Items on Amazon Right Now for Sales Tax Deduction New Car:

Teams needed to support New Hope efforts

It is time for area residents to gather a team, dust off the walking shoes, and bring the best fundraising ideas to the table as the New Hope Foundation Walk is right around the corner.

Calculating Taxes : How to Calculate Auto Sales Tax