Vanessa A
Employee Tax Expert

State tax filing

If you want to enter them as part of your state and local tax deduction, you can just enter them on your W-2 by selecting add a locality.  The numbers will transfer to the SALT deduction if you are itemizing. 

 

Itemized expenses include mortgage interest,  charitable contributions, state and local taxes up to $10,000, medical expenses in excess of 7.5% of your AGI and casualty and losses in excess of 10% of you AGI with the first $100 not counting towards the loss.  Your health insurance and all medical expenses are only deductible for the amount that is over 7.5% of your AGI.  This means if your AGI is $50,000, then the amount that is over $3,750 is deductible.  

 

Then your total itemized expenses would need to be greater than your standard deduction below in order to benefit from your local tax payments. 

 

The 2023 Standard Deductions are as follows:

  • Married Filing Joint (MFJ)              $27,700
  • Married Filing Separate (MFS)      $13,850
  • Head of Household (HOH)             $20,800 
  • Single                                                     $13,850                                

Blind or over 65 and MFJ or MFS add $1,500

Single or HOH if blind or over 65 add $1,850

 

 

Standard versus Itemized Deduction

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