Category: Finding Deductions
Sales Tax Deduction Calculator
Using the Sales Tax Deduction Calculator
To figure the amount of optional general sales tax you are eligible to claim, just answer a few online questions and the system does the rest. First select the tax year for which you are preparing a return. Then, using your ZIP Code and just a few entries from your draft Form 1040, the Sales Tax Deduction Calculator will automatically figure the amount of state and local sales tax you can claim. You will see the results from your entries immediately on your computer screen. Even if your state and local sales tax rates changed during the year (e.g., because the rates changed or because you moved your personal residence), the Sales Tax Deduction Calculator can handle it.
You can find this within our program by going to Deductions > Enter Myself > Itemized Deductions > Taxes You Paid > Sales Tax Worksheet.
If you would like a second opinion to your sales deduction, you can do so through the IRS website (Sales Tax Deduction Calculator). Your entries are anonymous and the information is collected solely to allow you to determine your total allowable deduction. All entries are erased when you exit or start over.