The Standard Tax Deduction
With deductions you have the ability to reduce your tax liability. You have two options for taking advantage of deductions: you can use the standard deduction or you can itemize. If your itemized deductions will be more than the standard deduction you should choose this option. If not, the standard deduction will do the job just fine.
Here is all the information you will need if you are interested in using the standard deduction:
Filing Status
Single: $5,700
Head of Household: $8,350
Married Filing Jointly: $11,400
Married Filing Separately: $5,700
Qualifying Widow: $11,400
If Blind: $1,100 for married filing separately, married filing jointly, or widow); $1,400 for single and head of household filing status.
If age 65 or older, you will receive an additional amount: $1,100 if married filing jointly, married filing separately, or widow; $1,400 for single and head of household filing status
So what type of deductions are you going to use the next time around? The standard deduction is a great way to lower your liability, but you only want to use it if your itemized deductions would not be the greater of the two amounts. With the information above, you should have a better idea of which deduction strategy will work best for you.
