Taxpayers can choose between standard deduction and itemized deductions from "summary" of Income Tax Fundamentals 2021 by Gerald E. Whittenburg,Martha Altus-Buller,Steven Gill
Taxpayers have the option to select either the standard deduction or itemized deductions when calculating their taxable income. The standard deduction is a fixed amount that the IRS allows taxpayers to deduct from their income without having to provide any documentation of their expenses. This deduction is available to all taxpayers and is based on filing status, such as single, married filing jointly, or head of household. On the other hand, itemized deductions require taxpayers to list out specific expenses they incurred throughout the tax year, such as mortgage interest, medical expenses, and charitable contributions. Choosing between the standard deduction and itemized deductions depends on which option will result in a lower taxable income. Taxpayers should calculate their deductions using both methods to determine which one will provide the most significant tax benefit. If the total of their itemized...
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