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,

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Tax Glossary

Acquisition debt

Debt used to buy, build, or construct a principal residence or second home and that generally qualifies for a full interest expense deduction.

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