Deductions

[Ataxfiler2023]

What are some common missed deductions? and when is itemizing better than taking the standard deduction?

[AnnetteB6 · Accepted solution]

Here is a TurboTax help article that lists ten of the most common missed deductions or credits:

The 10 Most Overlooked Tax Deductions

Also, with regard to itemizing versus taking the standard deduction, with the recent tax law changes increasing the standard deduction and placing limits on deducting state and local taxes, it is much more common to see a bigger tax benefit using the standard deduction instead of itemizing.  The only time itemizing is better for you is when your total itemized deductions is greater than the standard deduction for your filing status.  

When you use TurboTax to prepare your return, you should enter information for each possible itemized deduction.  Then, the program will have the information needed in order to advise you which choice is best for your tax situation.  

Also, many states allow you to use itemized deductions for your state return even if you claimed the standard deduction on your Federal return.  By entering all of your possible itemized deductions as you go through the Federal return, the information will easily transfer to your state return to get your best possible outcome there too.  
 

[K67]

Thanks