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Level 2
posted Feb 7, 2020 9:13:03 AM

deductions

My wife and I are retired and we own 2 mortgaged rental properties plus our home that is still mortgaged.  We claim a huge loss on both income properties, 13% of our income to the church, and it still says its better to take the standard deduction.  how can that be?

0 3 475
3 Replies
Expert Alumni
Feb 7, 2020 9:32:01 AM

Your mortgages are on rentals and deducted on Schedule E not on your Schedule A personal Itemized Deductions.

  • Your Itemized Deductions have to exceed $27,000 if your filing Married Filing Jointly and both of you are 65 or over.

Level 2
Feb 7, 2020 2:52:39 PM

We are both 64.  Does that change anything?

Expert Alumni
Feb 7, 2020 3:11:21 PM

No, nothing changes because you are 64.  When you reach 65 you will receive a higher standard deduction.