South Dakota State Income Tax
I must admit I haven't done any research on this subject/question but I decided to throw it out there to get an answer. We are in our first year of full timeing and South Dakota is our residence. SD d...
Forum Discussion
Francesca Knowles wrote:dons2346 wrote:
If your state does not collect an income tax, you are allowed to deduct whatever you paid in sales tax from your federal income tax filing.
To clarify, the sales tax deduction is available to everyone, no matter whether your State has income tax or not. Thing is, you can't deduct BOTH state income taxes and sales taxes...you have to choose between them if you live where both are collected.
Link to IRS page
My statement is correct, please read it again.
