Tax Question: Taxes paid on a leased car ?

Cassondra Vanholland: Generally, you can deduct the actual state and local general sales taxes (including compensating use taxes) you paid in 2006 if the tax rate was the same as the general sales tax rate. However, sales taxes on food, clothing, medical supplies, and motor vehicles are deductible as a general sales tax even if the tax rate was less than the general sales tax rate. If you paid sales tax on a motor vehicle at a rate higher than the general sales tax rate, you can deduct only the amount of tax that you would have paid at the general sales tax rate on that vehicle. Motor vehicles include cars, motorcycles, motor homes, recreational vehicles, sport utility vehicles, trucks, vans, and off-road vehicles. Also include any state and local general sales taxes paid for a leased motor vehicle. Do not include sales taxes paid on items used in your trade or business. To deduct your actual expenses, enter the amount on Schedule A, line 5, and enter “ST” on the dott! ed line to the left of the line 5 entry space. Publication 600...Show more

Christy Tirabassi: The receipt which you bought from the broker could have the sales tax $$$$ quantity indexed one after the other alongside with all of the different state costs which you will would desire to pay to get the registered and qualified under your call on your state of place of residing. If the broker does not help you with this matter then you will would desire to pay the quantity to the DMV once you visit it to end the registration technique into your call as proprietor of this motor vehicle at that ingredient on your existence. desire which you detect the above enclosed concepts useful. 06/28/2010...Show more

Adan Stribble: You don't have any deductible taxes on a leased car unless the car is being used for business purposes.

Zora Mazzie: The automobile can be deducted using schedule C of any standard tax form by checking it off as a "Tax Deductable automobile that I! can deduct if I feel like it"