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jjceruti
New Member

Why aren't state income tax payments included in itemized deductions this year (2018)?

 
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MichaelMc
New Member

Why aren't state income tax payments included in itemized deductions this year (2018)?

State and local income taxes are still deductible if you itemize deductions. However, the Tax Cuts and Jobs Act of 2017 imposed a cap of $10,000 ($5,000 if married filing separately) on the total of State and local income, property, and sales taxes. If you live in a locale with high property tax rates, that $10,000 cap could be easily reached by your property taxes alone, leaving no possibility of deducting your state income tax payments.


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