Sales Tax on New Vehicles

[Jiggers]

In 2009, the sales tax for new vehicles could be deducted if you itemized or not.

Does that continue in 2010?

Or is this one that is on the extender bill?

[PIGLEE]

I have a list that shows it expires 12/31/09. But nowhere have I seen a list that tells what all is included in the Bush Tax Cuts. Hopefully we will see one soon.

I don't believe that the Auto Sales Tax is one of the Bush Cuts, because it was only available this last year. (after Bush left the office). But that is just a guess on my part.

[jimmcg]

Not on extenders at present.

[Will H]

Not on extenders at present.

Also not included in the extenders bill, as of yesterday, is the property tax deduction for non-itemizers.

[taxea]

I have a list that shows it expires 12/31/09. But nowhere have I seen a list that tells what all is included in the Bush Tax Cuts. Hopefully we will see one soon.

I don't believe that the Auto Sales Tax is one of the Bush Cuts, because it was only available this last year. (after Bush left the office). But that is just a guess on my part.

I just read the bill...it is not included

[Nashville]

Entice with tax incentives

What a shame. I just bought a brand spanking new car off the showroom Dec 13th.

Bottom line is it can now be argued that the sales tax incentive was not necessary to entice me to buy one....

[PIGLEE]

On the purchase of your new car. If you itemize it can still be taken on Schedule A. If your sales tax is more than your income tax. Maybe you will get the deduction anyway.

[Nashville]

Good Suggestion

Piglee, thanks for looking out for me with your suggestion. Two problems:

1) I haven't been able to itemized since I paid off my mortgage. No income tax in my state.
2) Some people have been able to deduct sales taxes in lieu of state income taxes for a few years now. However, the sales tax deduction on Schedule A might be dead. I think it was due for extension to enable the deduction in 2010 - and not sure whether the extension will happen or not.

[Lion]

Bill Passed

The bill the president is to sign today includes an extension of deductions for state/local taxes.

[PIGLEE]

I have done everything I always do to get ready for tax season, I have done all the continuing education classes. I have never been as confused about the tax law as I am today. What is in === what is out === what really is?????

And I don't think I am the only one........

I have never had so many of my clients call with questions as there have been this year.

I will be glad when my tax program is updated, so I can see what is in and what is out.

I am really looking forward to see The Tax Book update information, so I can get a better handle on it.

On top of everything we are trying move.

I have not even started on my newsletter yet, I have not a clue what to put in it.

Boy it felt good to VENT. Thanks

[taxea]

On the purchase of your new car. If you itemize it can still be taken on Schedule A. If your sales tax is more than your income tax. Maybe you will get the deduction anyway.

is that rule still in effect?