My wife purchased a brand new Honda Pilot in the fall of 2006. According to an article that was in the paper, it sounds like we can deduct not only the registration fee, but also the tax (sales?) we paid on this vehicle.
On the registration, there is a entry called "use tax" for like $1400 which was about what the sales tax was on our sales receipt from the dealership. There is also the entry for the regular yearly registration fee.
Anyway, we are trying to figure out where we put this on the tax forms. I am using TaxCut software, as I've done in previous years.
On the federal shedule A there is the section where you list your registration fee, licsense fee, other fees, etc.
Is the "use tax" what I'm supposed to enter here as "other tax", or do I just add this ammount to the registration fee? On the right hand side of the screen it says "What if I paid Sales Tax on the purchase of a car" but if you click on that it says, "not to enter sales tax here, we will ask you about this in a moment"...They never ask you about it in a moment...arrrrgggg
Thanks, if anybody has any ideas. I know your not in Iowa, but you might have ideas...
