Can I include the sales tax in the price of an item I’m claiming for a deduction?
Yes. If you’re allowed to deduct certain expenses, you can deduct the full cost of the expense including sales tax.
However, you might have deducted state and local sales tax — instead of state and local income taxes — on Schedule A. If so, you can’t claim the sales tax you paid on property you contributed to a charity for both your:
- Sales tax deduction
- Charitable deductions
A personal exemption reduces your taxable income. You may be able to claim one for yourself, your spouse and dependents. Learn the rules with H&R Block.
Make it your New Year's resolution to file a quick tax return online. Learn how to be the most prepared once e-file opens with H&R Block.
If you have Medicare, does your premium qualify for a deduction? Learn more from the tax experts at H&R Block.
Learn more about your filing status as a widow or widower with advice from the tax experts at H&R Block.