Filers Who Itemize: New Limitation to Taxes You Can Claim


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The Tax Cuts and Jobs Act Law limits the amount of state and local taxes (SALT). You can claim to $10,000 per year (or $5,000 if married filing separately) if itemizing your deductions on your 2018 return. Previously, there was not a dollar limitation on the amount of state and local taxes you could claim. Other than the general phase-out of itemized deductions based on your adjusted gross income.

Limitation to Taxes

This new limitation to taxes also extends to the combination of state and local income taxes, real estate taxes, personal property taxes. General sales taxes to $10,000 (or $5,000 if married, filing separately). If you previously counted on taxes paid in your itemization. You may benefit this year from the standard deduction that increased to $12,000 for single or married filing separately filer. $18,000 for Head of Household filer and $24,000 for married filing jointly or qualifying widow(er) filer.

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