asked

In middle TN, the state sales tax is 7.00% plus 2.25% in Williamson county, for a total of 9.25%. When purchasing a car or a boat, the applicable sales tax rate is only the state tax portion of 7.00%. When completing taxes on Turbo Tax, it allows me to deduct the sales tax paid on a car (7.00%) but not the sales tax paid on a boat (7.00%). Turbo Tax states that the sales tax on a car is deductible up to 9.25%, but for a boat, the sales tax must be exactly 9.25% to be deductible. Since I paid 7.00% sales tax on the boat, none of the sales tax paid on the boat is deductible. This seems arbitrary and illogical. Can you confirm that the sales tax I paid on the boat is not deductible?

July 10th, 2024

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