June 17, 2009 12:00 am

Deduction for Taxes on New Car Purchases in States with No Sales Tax

The American Recovery and Reinvestment Act of 2009 created a new deduction for state and local sales and excise taxes paid on the purchase of a new motor vehicle. But what if you live in Alaska, Delaware, Hawaii, Montana, New Hampshire, and Oregon,

advertisement
Tax Glossary

Involuntary conversion

Forced disposition of property due to condemnation, theft, or casualty. Tax on gain from involuntary conversions may be deferred if replacement property is purchased.

More terms