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View Full Version : Nj state tax deductions


cjp229
Apr 9, 2008, 05:55 AM
Can you answer me, for NJ state taxes is there any deduction for the purchase of taxes paid on a car? Thanks

ebaines
Apr 9, 2008, 06:25 AM
No - there is no deduction on the NJ tax forms for sales taxes paid.

In doing your federal taxes you have the choice of deducting either state income tax or sales taxes paid - but not both. If you bought a big ticket item like a car it may be better for you to deduct sales tax rather than your NJ income tax on your 1040 schedule A. For most people it is more advantageous to deduct income tax rather than sales tax, even if they bought a car - especially in a relatively high tax state like NJ.