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New Member
posted Mar 25, 2024 6:55:27 PM

Filing tax for my high school kids. it shows federal standard deductions only is $5,570. Why it is much lower than 2023 standard deduction of $13,800?

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1 Replies
Level 2
Mar 25, 2024 7:12:15 PM

Standard deduction is limited for dependents:

 

Dependents – If you can be claimed as a dependent by another taxpayer, your standard deduction for 2023 is limited to the greater of: (1) $1,250, or (2) your earned income plus $400 (but the total can't be more than the basic standard deduction for your filing status).