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New Member
posted Jan 26, 2020 10:20:10 AM

Why is turbotax telling me to take itemized deduction when it is $15000, and standard deduction is $24000?

0 6 1684
6 Replies
Level 15
Jan 26, 2020 10:23:03 AM

Are you married filing separately?  If so and your spouse itemizes, you must also itemize.  Of course the standard deduction is $24,000 only if you file jointly.  If you file jointly you should be getting the standard deduction unless you told TurboTax to do otherwise to be able to get some greater benefit on your state tax return on which you would otherwise have to take the state standard deduction (in some states).

New Member
Jan 29, 2020 6:28:01 AM

I am married filing  jointly.  I didn't tell Turbo Tax to use the itemized deduction.  It's telling me that my taxes will be lower if I itemize ($15000 total deductions) vs. using the standard deduction.

Level 15
Jan 29, 2020 8:32:58 AM

Perhaps you are misreading an indication by TurboTax that your combined state and federal income taxes might be lower if you itemize deductions on your federal tax return to allow itemizing on your state tax return.  However, given that the gap between itemized deductions and the federal standard deduction is rather large, it's doubtful that doing so would be beneficial.

 

Confirm the amount of the deduction actually being used by looking at line 9 of your Form 1040.

New Member
Jan 29, 2020 9:57:46 AM

No, state taxes aren't lower by itemizing.  I think the issue is that some of my taxes are from AMT.  Does that make sense?

Expert Alumni
Jan 29, 2020 10:12:08 AM

"No, state taxes aren't lower by itemizing."

 

Are you asking about taking the standard deduction in a state or on your federal return?

 

A number of states have a different standard deduction than the federal return or have other differences.

 

So are you asking about a state return or the federal and what is the state?

Level 15
Jan 29, 2020 10:13:26 AM

Ah yes, AMT could be the reason.  The standard deduction will not lower your AMT but itemized deductions might.