What is the vehicle registration fees deduction?
You may be able to deduct certain taxes on your federal return for the fees you pay for your vehicle registration or vehicle license. You'll find this information on your vehicle registration bill. You can't deduct the total amount of your registration fee, just the portion that the state charged you for taxes based on the value of your vehicle. (If you need help finding this on your bill, contact your state's Department of Motor Vehicles.)
Important: If you live in a state that doesn't tax the value of your car, but you paid car registration fees in a state that does, you may be able to get this deduction. Just enter the amount you paid on the Vehicle Registration Fees screen. What states charge taxes based on vehicle value? You may be able to deduct some or all of your vehicle registration fees for taxes paid in the following states:
How do I get this deduction? You must itemize your deductions in order to take the vehicle registration fee deduction. Learn More About Itemizing Deductions Remember, you can deduct only taxes that a state charges each year based on the value of the vehicle. Enter this amount, which you'll find included on your annual registration bill, on the Vehicle Registration Fees screen. You cannot deduct the following charges that might appear on your vehicle registration or license bill: - Taxes or fees based on the weight, model, year, or horsepower of the vehicle - Other fees not based on the value of the vehicle, such as custom license plate fees - Penalties or fees for late payment What if I have a motorcycle, motor home, boat or off-road vehicle? As long as your vehicle registration or license fee for your motorcycle, motor home, off-road vehicle or boat includes taxes based on the value of the item, you're eligible for this deduction. What paperwork do I need? - Your current vehicle registration or license bill Note: If you purchased a car during the year, your vehicle registration bill may not be available. The vehicle purchase contract may contain the information you need. If you can't find your registration or license bill, your vehicle registration card may contain the information. You may also be able to look up your vehicle registration bill on your state's Department of Motor Vehicles website.Vehicle-fee-deduction