Im doing my taxes and need as many deductions as possible. Any way to deduct my vehicle registration fees?
Possibly. According to the IRS’s Publication 17 (see page 146), you can deduct the portion of the registration fee that is based on your car’s value. The IRS counts this as personal property tax, even if it is called a registration fee or a usage fee. For instance, if your car is worth $2000 and your state charges you 1% of the car’s value ($20) every year as part of your registration, you may deduct that amount. You may not deduct other registration fees. If, however, your state does not charge for your registration based on value, you will not be able to deduct your vehicle registration fee, or any portion of it. To find how much to deduct, look on your registration card or registration renewal form to see if this fee is listed, or contact your local MVC office. If you have questions on how to take the deduction, contact the IRS or a tax professional.
