When filing your federal income taxes, you can choose between itemizing your deductions or taking the standard deduction. You can choose the deduction type that will allow you to deduct the maximum possible amount from their taxable income. This can help minimize the amount of taxes you owe.
Credit Karma Tax will recommend the best method for you based on the information you enter. You can also override our recommendation if you prefer.
The standard deduction amount is primarily based on your filing status. You can use the IRS tool to help you estimate your standard deduction. You should look at this tool for an estimate of your deduction amount, but keep in mind that it may not necessarily be the exact amount of your deduction.
Meanwhile, itemizing your deductions allows you to deduct specific expenses (but remember deductions can have eligibility requirements). Mortgage interest paid, medical and dental expenses, and charitable contributions are all examples of itemized deductions. You can check out the IRS website for more information on itemized deductions.
Itemized deductions can be done with a Schedule A (Form 1040). Read more about Schedule A here.