Question

If I did some home renovation projects. Do I qualify for a home renovation tax deduction on the sales tax for the items I bought for the project?

Answer

You may qualify for a home renovation tax deduction on the sales tax for the materials you purchased. However, all of the following must apply:

  • You’re claiming the deduction for state and local sales taxes instead of the deduction for state and local income taxes.
  • You’re using the optional sales tax tables.
  • It’s considered a substantial addition to or major renovation of the home.
  • Your state has sales tax. (Some states have no sales tax.)

Big ticket items are:

  • Motor vehicles, like:
    • Cars
    • Motorcycles
    • Motor homes
    • Recreational vehicles
    • Sport utility vehicles (SUVs)
    • Trucks
    • Vans
    • Off-road vehicles
    • Aircraft or boats
  • Homes, like:
    • Mobile home
    • Prefabricated home
    • Substantial addition or major renovation of the home

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