My itemized deduction is ~$14K. The standard for married filing jointly is ~29K. TurboTax has me taking the itemized deduction, saying that my refund will be ~$1K more. Should I switch to the standard deduction? I called and the "expert" said that this could have something to do with AGI or my $960 charitable donation but that didn't sound right. Wondering if this is an error in Turbotax and if I should switch to the standard deduction.
Have you previewed your tax summary using both options to see the difference?
Thanks Britney. Yes, I have previewed both options, and even played around with it and switched between them.
It's very perplexing. How does an itemized deduction that is smaller than the standard deduction produce a higher refund? I actually found the issue right before e-filing when I was able to review the 1040.
I just spent an hour on the phone with a TurboTax expert/CPA. He reviewed the whole return and could not figure it out either. He suggested taking the standard deduction because even though it produces a smaller refund (by about $1k), the refund (or part of it at least) won't be taxable next year if I take the standard deduction.
We double-check filing status (married filing jointly) , so that isn't the issue.