Can anyone tell me why my standard deduction is so high compared to the tax information I have entered?

[hollynolting]

The standard deduction being suggested prior to filing is more than my income last year, but all of information I have entered is accurate. Should I proceed with filing and just hope the actual tax refund is done correctly, or does this mean there is something very wrong somewhere in the information I entered or the way I answered a question and it will all go wrong?

[DoninGA]

The Standard Deduction is based on your Filing Status and age

Standard deductions for 2023

Single - $13,850 add $1,850 if age 65 or older
Married Filing Separately - $13,850 add $1,500 if age 65 or older
Married Filing Jointly - $27,700 add $1,500 for each spouse age 65 or older
Head of Household - $20,800 add $1,850 if age 65 or older

[xmasbaby0]

Your standard deduction lowers your taxable income. 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 2023 Form 1040.

2023 STANDARD DEDUCTION AMOUNTS

SINGLE $13,850  (65 or older/legally blind + $1850)

MARRIED FILING SEPARATELY $13,850  (65 or older/legally blind + $1500)

MARRIED FILING JOINTLY $27,700  (65+/legally blind) )  + $1500 per spouse

HEAD OF HOUSEHOLD  $20,800 (65 or older/blind)  + $1850)

Explain Standard Deduction—What is it?

https://ttlc.intuit.com/community/credits-and-deductions/help/what-s-my-standard-deduction/00/26370

[Vanessa A]

Your standard deduction is different than your itemized deductions.  If you entered less than your standard deduction, then TurboTax would give you the Standard deduction instead of the Itemized Deductions.

Itemized expenses include mortgage interest, state and local taxes up to $10,000, medical expenses in excess of 7.5% of your AGI and casualty and losses in excess of 10% of you AGI with the first $100 not counting towards the loss.  Your health insurance and all medical expenses are only deductible for the amount that is over 7.5% of your AGI.  This means if your AGI is $50,000, then the amount that is over $3,750 is deductible.  

Then your total itemized expenses would need to be greater than your standard deduction below in order to benefit from your insurance premium payments. 

The 2023 Standard Deductions are as follows:

• Married Filing Joint (MFJ)              $27,700
• Married Filing Separate (MFS)      $13,850
• Head of Household (HOH)             $20,800 
• Single                                                     $13,850                                

Blind and MFJ or MFS add $1,500

Single or HOH if blind add $1,850

[VolvoGirl · Accepted solution]

Everyone gets to take a Standard Deduction amount off their income before the tax is calculated (it's a good thing - it lowers your income).  Which means the first 13,850 Single (27,700 Joint) of your income is not taxed and is tax free.  Unless their itemized deductions are more.  Itemized deductions are things like Medical, Gifts to Charity, State Income Taxes Paid, Mortgage Interest, Property Taxes, Car Registration fees, etc.