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Itemizing vs. Standard Deduction

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					 IRS Tax Tips                                                                     March 20, 2013

Useful Links:                Issue Number: IRS Tax Tip 2013-37
IRS.gov Home                 Inside This Issue
1040 Central

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                             Itemizing vs. Standard Deduction: Six Facts
                                         to Help You Choose
News Essentials
                             When you file a tax return, you usually have a choice to make: whether
What's Hot                   to itemize deductions or take the standard deduction. You should
                             compare both methods and use the one that gives you the greater tax
News Releases                benefit.

IRS - The Basics             The IRS offers these six facts to help you choose.

IRS Guidance                 1. Figure your itemized deductions. Add up the cost of items you
                             paid for during the year that you might be able to deduct. Expenses
Media Contacts
                             could include home mortgage interest, state income taxes or sales taxes
                             (but not both), real estate and personal property taxes, and gifts to
Facts & Figures
                             charities. They may also include large casualty or theft losses or large
Problem Alerts               medical and dental expenses that insurance did not cover.
                             Unreimbursed employee business expenses may also be deductible.
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                             2. Know your standard deduction. If you do not itemize, your basic
e-News Subscriptions         standard deduction amount depends on your filing status. For 2012, the
                             basic amounts are:

                             • Single = $5,950
The Newsroom Topics          • Married Filing Jointly = $11,900
                             • Head of Household = $8,700
Tax Tips 2013                • Married Filing Separately = $5,950
                             • Qualifying Widow(er) = $11,900
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                             3. Apply other rules in some cases. Your standard deduction is higher
Fact Sheets
                             if you are 65 or older or blind. Other rules apply if someone else can
Armed Forces                 claim you as a dependent on his or her tax return. To figure your
                             standard deduction in these cases, use the worksheet in the instructions
Disaster Relief              for Form 1040, U.S. Individual Income Tax Return.
Scams / Consumer Alerts      4. Check for the exceptions. Some people do not qualify for the
                             standard deduction and should itemize. This includes married people
Tax Shelters                 who file a separate return and their spouse itemizes deductions. See the
                             Form 1040 instructions for the rules about who may not claim a
                             standard deduction.
IRS Resources                 5. Choose the best method. Compare your itemized and standard
                              deduction amounts. You should file using the method with the larger
Compliance & Enforcement News
                              amount.
Contact My Local Office
                             6. File the right forms. To itemize your deductions, use Form 1040,
Filing Options               and Schedule A, Itemized Deductions. You can take the standard
                             deduction on Forms 1040, 1040A or 1040EZ.
Forms & Pubs
                             For more information about allowable deductions, see Publication 17,
Frequently Asked Questions   Your Federal Income Tax, and the instructions for Schedule A. Tax
                             forms and publications are available on the IRS website at IRS.gov
News                         You may also call 800-TAX-FORM (800-829-3676) to order them by
                             mail.
Taxpayer Advocate

Where to File
                             Additional IRS Resources:

                                    Interactive Tax Assistant tool - How Much is My Standard
                                     Deduction?
                                    Schedule A (Form 1040), Itemized Deductions and instructions
                                    Form 1040, U.S. Individual Income Tax Return and
                                     instructions
                                    Publication 17, Your Federal Income Tax

                             IRS YouTube Videos:

                                    Standard vs. Itemized Deductions - English | Spanish | ASL

                             IRS Podcasts:

                                    Standard vs. Itemized Deductions - English | Spanish

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