I paid a state balance tax that was due in '04, this year. If I itemize, can I deduct this this tax season?
Thanks
2007-10-25 09:08:07 · 4 answers · asked by JustBreathe 3 in Business & Finance ➔ Taxes ➔ United States
It is deductible in 2008 for your 2007 taxes.
Note: Only the taxes are deductible. Any penalties and/or interest on those taxes are not deductible.
2007-10-25 09:11:22 · answer #1 · answered by Wayne Z 7 · 3⤊ 3⤋
Yes you can deduct it because you paid it this year. However, this comming tax season is called the '07 season even though it occurs in '08.
2007-10-25 09:26:21 · answer #2 · answered by Gypsy Girl 7 · 2⤊ 0⤋
Yes, you can deduct it for the year you actually paid it if you itemize. You can only deduct the actual tax payment though, not the part of the payment that was interest and penalties, those are not deductible.
2007-10-25 09:31:29 · answer #3 · answered by Judy 7 · 2⤊ 1⤋
Yes, you can deduct the taxes, not interest or penalties.
2007-10-25 10:47:15 · answer #4 · answered by Steve 6 · 1⤊ 0⤋