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Six States Can Deduct Their Car Taxes

Truck Tax Deduction

Even though some states have no sales tax, the car buyers still have to pay fees to the state and its government. The good news for those who live in states like these is that the customers can claim tax deduction for the new cars this year.

The U.S. Treasury has expanded the law allowing new car buyers to deduct state sales tax on June 11 for the states with no sales tax. Such states are Alaska, Delaware, Hawaii, Montana, New Hampshire and Oregon.

The tax deduction is temporary and the consumers qualify for it if they purchase was made after February 16, 2009 and before January 1, 2010. The price of the purchased vehicle should be up to $49,500 and the deduction will be paid only for new cars, light trucks, motorcycles or motor homes.

The law was expanded with the intention to increase car sales which are really low this year. However helping customers in six states will not restore the whole country situation unless people from other states will travel there to buy a car with deductible tax.

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