Any tax dudes in here?

[deth2u]

Back in Jan, I bought a used (basically new, but used) truck for 13k since the truck market was in the hole. I was wondering if you can write off the sales tax? That's like $1200 I gave away the the rape artists on capitol hill.

I checked around on Google and found this:

Sales Tax Deduction for Vehicle Purchases

It says under the last Money Grab Act, that you're allowed to do this? I was under the assumption that you pay extra taxes to the state (I'm in CA), you get it back when you file? Or is this on a federal level?

 

[cs82685]

Back in Jan, I bought a used (basically new, but used) truck for 13k since the truck market was in the hole. I was wondering if you can write off the sales tax? That's like $1200 I gave away the the rape artists on capitol hill.

I checked around on Google and found this:

Sales Tax Deduction for Vehicle Purchases

It says under the last Money Grab Act, that you're allowed to do this? I was under the assumption that you pay extra taxes to the state (I'm in CA), you get it back when you file? Or is this on a federal level?

I'm not 100% on this but "permits taxpayers to take a deduction for state and local sales and excise taxes paid on the purchase of new cars, light trucks, motor homes and motorcycles"

I would say no although I'm not a CPA just yet. I believe the point was another way to try and increase new auto sales and help out the manufacturers so buying a used vehicle doesn't do jack there.

Not to mention, as a deduction you wouldn't be getting that 1200 back, there's a big difference between deductions and credits. A $1200 deduction would just mean it would reduce your taxable income by $1200 (i.e. if you're in the 25% tax bracket, it would reduce your tax liability by $300. So you would either owe $300 less or get an extra $300 on your return depending on your position).

 

[skye]

No, it's only for brand new cars.

 

[the_mork]

This will vary from state to state but I believe in Wisconsin you can deduct the sales tax paid on any vehicle you buy BUT this only helps you if you itemize your deductions which is often not the most beneficial way to file your taxes. If you take a standard deduction you may get more money back. Filing with an itemized deduction is usually only beneficial if you've made large purchases such as a house, or have extensive medical bills.

Edit: Read the actual link and realized you are asking about federal taxes. No, you can't it is for new cars. You may still be able to make the deduction from your state taxes.