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Why do i lose a deduction if state and local taxes are less than 10000
my state and local taxes were less than $10,000 but I lost 17891 in deductions
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Why do i lose a deduction if state and local taxes are less than 10000
Can you clarify where you are seeing this loss of deductions? Is it the Federal Deductions and Summary screen?
A few notes on items you are probably seeing on that screen:
Property taxes and also included in that $10,000 limit for state and local income taxes. So, if you had $8,000 in property taxes and $8,000 in state and local income taxes, then you would lose $6,000 in deductions due to the limit.
Many miscellaneous itemized deductions, such as job-related expenses for W2 employees, are also no longer deductible.
There are no longer any personal exemptions. In the past, you received an exemption amount of $4,050 for each person on your return (so a family of four would be $16,200). These exemptions, while not technically deductions, would show as deductions in the summary amounts.
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