• partial_accumen@lemmy.world
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    20 hours ago

    It’s not common for people to itemize any longer after Trump’s tax updates a few years ago

    The Tax Cuts and Jobs Act (TCJA) of 2017 Trump passed put in place permanent tax cuts for corporations and temporary tax cuts for individuals. The individuals tax cuts expire next year in 2025 so in 2026 the current standard deduction for single filers of $14,600 drops to $8,300. For joint filers is currently $29,000 and dropping to $16,600. source

    Unless these tax cuts for individuals are renewed, we might see many more folks itemizing again because the standard deduction is too small again.

    • dogslayeggs@lemmy.world
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      2 hours ago

      The part of that which REALLY hurt me was the cap on how much you could deduct. I itemized even with the increase in higher standard deduction, so capping my deduction hurt me a lot.