Sales Tax – Entering in the Program
To enter Sales Tax in the TaxAct program, follow the steps below.
NOTE: You can deduct either the sales tax deduction or the state income tax deduction – if you want to override the system default, see Sales Tax – Elect General Sales Tax Deduction or State Income Tax Deduction.
Online
Dashboard
- From within your TaxAct return, click Deductions & Credits.
- On smaller devices, click the menu at the top left corner of your screen, then make your selection.
- Click the Estimates & Other Taxes Paid drop-down.
- Click Add beside Deductible Taxes Paid.
- Complete the rest of the interview process.
Classic
- From within your TaxAct return, click Federal.
- On smaller devices, click the menu at the top left corner of your screen, then make your selection.
- Click the Itemized or Standard Deductions drop-down, then click Taxes paid.
- Complete the rest of the interview process.
Desktop
- From within your TaxAct return, click Federal.
- Click the Itemized or Standard Deductions drop-down, then click Taxes paid.
- Complete the rest of the interview process.
See the IRS Instructions for Schedule A for details on what types of taxes can be entered for state and local general sales taxes paid.
IRS Publication 17 specifies that you cannot deduct the following:
- Employment taxes
- Estate, inheritance, legacy, or succession taxes
- Federal income taxes
- Fines and penalties
- Foreign personal or real property taxes
- Gift taxes
- License fees
- Per capita taxes
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