topic How come last years deductions were 40,174 and this year is 27,054. I feel like this year should have been similar, or maybe even higher? in Get your taxes done using TurboTax

How come last years deductions were 40,174 and this year is 27,054. I feel like this year should have been similar, or maybe even higher?

amygoodwin — Sat, 01 Jun 2019 20:26:33 GMT

For personal schedule A Itemized Deductions Or business e...

VolvoGirl — Sat, 01 Jun 2019 20:26:34 GMT

For personal schedule A Itemized Deductions
Or business expenses on schedule C?

You are probably being limited by SALT. SALT is State And Local Tax. Which includes property tax, any state tax paid like for last year’s return and includes any state withholding from your W2s and any 1099s you have. And any taxes in W2 box 14 and 19 like SDI or VDI. You can only deduct up to 10,000 (5,000 MFS) for SALT State and Local Taxes.

STANDARD DEDUCTION Many taxpayers are surprised this year...

xmasbaby0 — Sat, 01 Jun 2019 20:26:36 GMT

STANDARD DEDUCTION

Many taxpayers are surprised this year because their itemized deductions are not having the same effect as they did on past tax returns. The new higher standard deduction and the elimination of certain deductions, as well as the cap on state and local taxes have had a major impact.

Your itemized deductions have to be more than your standard deduction before you will see a change in your tax owed or tax refund. The deductions you enter do not necessarily count “dollar for dollar;” many of them are subject to meeting tough thresholds—medical expenses, for example, must meet a threshold that is pretty hard to reach. The software program uses all the IRS rules that apply to the expenses you enter, and it tells you if you have enough to use your itemized deductions or if using the standard deduction is more advantageous for you. Under the new tax laws, some deductions have been capped—there is a $10,000 limit to the itemized deductions for state, local, property and sales taxes.

Your standard deduction lowers your taxable income. It is not a refund

2018 Standard Deductions:

Single $12,000 (+ $1600 65 or older)

Married Filing Separately $12,000 (+ $1300 65 or older)

Married Filing Jointly $24,000 (+ $1300 each spouse 65 or older)

Head of Household $18,000 (+ $1600 65 or older

Look at line 8 of your Form 1040 to see your standard or itemized deductions.

https://ttlc.intuit.com/questions/4482873-which-federal-tax-deductions-have-been-suspended-by-tax-reform

And you are posting from Self-Employed. Don't confuse it...

xmasbaby0 — Sat, 01 Jun 2019 20:26:38 GMT

And you are posting from Self-Employed. Don't confuse itemized deductions with business expenses that you put on a schedule C.