- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
My client has standard deductions of $24,861 - but program is using standard $24,800
Why?
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
You've got $24861 on line 17 of Schedule A but program is only taking Std deduction of $24800.
Have you by chance checked the box on Federal Information Sheet Part X - Use Std Deduction even if less than Itemized?
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Is it using $24,800 std deduction plus $300 charitable contributions?
The more I know the more I don’t know.
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
This is what is happening. The program is correctly calculating that a $24,800 SD PLUS a $300 above the line charitable contribution deduction is better taxwise than a $24,861 itemized deduction.
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
assuming there are charitable contributions
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Be careful - if you are also filing a state return where the standard deduction is very small (like Maryland) if you are that close you might want to force itemizing thereby giving you more itemized deductions for the state. That number is just too close to not see which is more beneficial.
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Pro series did a good job on this , I give them credit...
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Give yourself credit for figuring it out.