This is the first year that Turbo Tax has selected the standard deduction over the itemized deduction and indeed it saves me about $200 in Federal Tax. Unfortunately Turbo Tax is not smart enough to take into account the effects on your state taxes. For my specific situation, TT saves me $200 on Federal tax but costs me $1700 in State Taxes. I had to try to figure out what happened myself and go into forms to change it back to itemized. Turbo Tax continued to chastise me for selecting itemized over standard but I got my $1700 dollars back from State.
I find this completely unacceptable. Please fix your software to analyze both Federal and State Tax savings before recommending itemized vs standard deduction. You are costing people thousands of dollars. Very huge and costly bug (for the people who bought your product) in my opinion.
