When trying to estimate taxes for 2021 using the Tax Calculator-TaxCaster, the std deduction appears to be incorrect.
For Married Filing Joint the std deduction is set to $25,100. After setting age to over 65 it jumps by $1,700 to $26,800. Then it jumps by $1,700 again to $28,500 with spouse also set to over 65.
For 2021 isn't the extra deduction amount for over 65 supposed to be $1,350 not $1,700?
Using $1,350, the std deduction with both over 65 would be $27,800. Why is TaxCaster setting it to $28,500?
2021 taxes are over, It is now for 2022.
$28,500 is the 2022 standard deduction for MFJ and both spouses are over age 65.
2022 standard deduction for MFJ = $25,900
plus 2 X $1300 0ver 65 + $2,600.
$25,900 + $2,600 = $28,500
Seems that the tax caster is showing the 2022 standard deductions figures even though it still shows the 2021 tax year https://turbotax.intuit.com/tax-tools/calculators/taxcaster/ which will be corrected soon.
If you are trying to calculate the 2021 taxes just indicate only one person is over 65 to get a close estimate.
I clicked on the up arrow in the Estimated Tax Refund box to watch the Total Deduction number change as I answered the questions. It changed from 25100 to 26800 to 28500.
So it is starting with the correct 2021 base standard deduction but then increasing it incorrectly for over 65. The 2021 increase for Over 65/Head of Household and Over 65/Single is $1700 so maybe that is where it is getting the +1700 from.
I was trying to figure out if I've had enough tax withheld so far for 2021. I guess I am expecting too much from TaxCaster since it can't even calculate the std deduction amount correctly.