We bought a car in 2004 but forgot to report the sales tax rate for deduction (we live in a high tax rate county). Can we claim it for this year. If so, please let me know the procedure to claim the amount. Thanks
As you bought the car in 2004, the only correct answer is to amend the 2004 tax return For that you use form 1040X
Sales tax goes plus the sales tax for the car goes on Schedule A form 1040. Missy Doyle
No, there are few, if any, times that you can choose when to take a deduction. Nearly all deductions are taken the year they are paid (except IRA may be deposited up till April
15). You are a candidate for an ammended return. The issue isn't even a year old, so if you use a Tax guy, wait till his rush is over and have him prepare the ammended return. If on your own, I'd just warn you that you can take the higher of sales tax or state tax, so even with the car, you may not exceed your state income tax. You need to check to see if it's worth it. JOE
Just noticed that it was 2004. Sales tax was not deductable in 2004. It just started in 2005. Sorry, I read it too fast. Missy Doyle
You are incorrect Missy. Sales tax was deductible in 2004 AND 2005. It will likely be extended to this year from my reading. Wayne
It WAS deductible in 2004. It started in 2004.
WRONG, the sales tax deduction was available for 2004 AND
2005, but is now past history.
Sorry, Guys! When you get older, the years start to run together... My three remaining brain cells must have been asleep at the wheel when I said that... Missy Doyle
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