Hello, I think the most recent turbotax update introduced errors for 1040 deduction method.
In our case, it should be based on itemized deduction ($35000+, 2 days ago), but it's recommending standard deduction now (after an update this morning). This change will increase our tax amount by almost $2000, compared to the amount shown on Tue 3/18/2025. Please check.
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You may have entered 35K of itemized deductions, however, only a portion of those amounts are deductible. State and Local taxes are maxed out at 10K. Only medical expenses over 7.5% of AGI are deductible. So the standard deduction may be better.
See the link below to switch to compare. Print your return with both options so you can compare them to see the differences. Use Print Center to view Schedule A.
Preview Form 1040 in TurboTax Online.
Use Forms Mode if you are using the desktop software.
Maybe the update changed some of your income which would limit some deductions. Did you enter any 1099R forms? I believe there was a big update on those. Go back and review the 1099R and answer all the follow up questions again. I would even delete the 1099R and enter them again Manually.
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