Why doesn't Turbox tax let me choose Itemized Deductions when the estimated breakdown shows my itemized deductions are $35,400?

[mbreaux]

I had trouble with this last year too. Someone said last year you can FORCE Turbotax to choose Itemized, but I don't know how to do that. I thought the consumer had a choice?

[xmasbaby0]

Are you making the common mistake of just adding up all the amounts for your itemized deductions without considering the caps and thresholds that must be met?

STANDARD DEDUCTION

Many taxpayers are surprised 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 since the new tax laws went into effect beginning with 2018 returns.

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. (Only the amount that is MORE than 7.5% of your AGI counts)   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 tax laws that have been in effect since 2018, some deductions have been capped—there is a $10,000 limit to the itemized deductions for state, local, property and sales taxes.

The standard deduction makes some of your income “tax free.”  It is not a refund.  You will see your standard or itemized deduction amount on line 12 of your 2024 Form 1040.

2024 STANDARD DEDUCTION AMOUNTS

SINGLE $14,600    (65 or older/legally blind + $1950)

MARRIED FILING SEPARATELY            $14,600    (65 or older/legally blind + $1550)

MARRIED FILING JOINTLY $29,200    (65 or older/legally blind + $1550)

HEAD OF HOUSEHOLD $21,900    (65 or older/legally blind + $1950)

CHANGE FROM STANDARD OR FORCE ITEMIZED DEDUCTIONS

https://ttlc.intuit.com/turbotax-support/en-us/help-article/tax-credits-deductions/change-standard-d...

[mbreaux]

Thank you for your reply.  I do understand everything you wrote.  I want to be able to itemize because we live in Wisconsin and can take the Wisconsin Homestead Credit.  We actually do better with a higher refund from WI (zero refund from Federal) because of the Homestead Credit.  The WI form asks if we itemize federal in order to get the higher refund, but the system won't let us.  Again, this happened last year too, but someone told us how to FORCE the itemized deduction feature to override the standard and it worked!  I can't remember what I did.  Please help me to be able to choose the itemized feature since the system is telling us that is our best choice.  Thanks!

[PaulaM]

To switch from standard deduction to itemized deductions, follow the instructions in this FAQ for your TurboTax product. 

You might also clear your cache and cookies prior if you are using TurboTax online product.