Subject:  sales tax?
From:  Harriet Schneider
Date:  Fri, 14 Jan 2000

If you build a new home, is sales tax on the materials bought to build the home with deductible?

Answer

Date:  19 Jan 2000

Hello Harriet,

No, sales taxes are no longer deductible.

You may add the sales tax for materials to build a home to your tax basis for determining the gain or loss when you sell the home.

Good luck!
Mike Gray

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