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client has larger than standard deduction-but program still using standard

Indyliz
Level 1

My client has standard deductions of $24,861  - but program is using standard $24,800

Why?

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7 Replies 7
dkh
Level 11

You've got $24861 on line 17 of Schedule A but program is only taking Std deduction of $24800.

Have you by chance checked the box on Federal Information Sheet Part X - Use Std Deduction even if less than Itemized?         

sjrcpa
Level 15

Is it using $24,800 std deduction plus $300 charitable contributions?


ex-AllStar
jofijohnjoseph
Level 4

This is what is happening.  The program is correctly calculating that a $24,800 SD PLUS a $300 above the line charitable contribution deduction is better taxwise than a $24,861 itemized deduction.

dkh
Level 11

assuming there are charitable contributions

DebiHCPA
Level 3

Be careful - if you are also filing a state return where the standard deduction is very small (like Maryland) if you are that close you might want to force itemizing thereby giving you more itemized deductions for the state. That number is just too close to not see which is more beneficial.

PATAX
Level 11

Pro series did a good job on this , I give them credit...

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DebiHCPA
Level 3

Give yourself credit for figuring it out.

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