Discuss the various Schedule A Itemized Deductions, the Standard Deductions for each Filing Status, the Additional Standard Deduction, and those taxpayers eligible for the Qualified Business Income Deduction.

For Tax Years 2019 and 2020, taxpayers can claim medical and dental expenses which exceed 7.5% of AGI when they itemize on a Schedule A.

The citation for the new tax law is the Further Consolidated Appropriations Act, 2020 (Public Law 116-94), which states:

SEC. 103. REDUCTION IN MEDICAL EXPENSE DEDUCTION FLOOR.

(a) IN GENERAL.—Section 213(f) is amended to read as follows:
‘‘(f) TEMPORARY SPECIAL RULE.—In the case of taxable years beginning before January 1, 2021, subsection (a) shall be applied with respect to a taxpayer by substituting ‘7.5 percent’ for ‘10 percent’.’’...
(c) EFFECTIVE DATE.—The amendments made by this section shall apply to taxable years ending after December 31, 2018.

 

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Itemized Deductions SCHEDULE A (Form 1040 or 1040-SR) (Rev. January 2020) OMB No. 1545-0074 Go to www.irs.gov/ScheduleA for instructions and the latest information. 2019 Attach to Form 1040 or 1040-SR. Department of the Treasury Intermal Revenue Service (ge Caution: If you are claiming a net qualified disaster loss on Form 4684, see the instructions for line 16. Attachment Sequence No. 07 Your social security number Name(s) shown on Form 1040 or 1040-SR Medical and Dental Expenses Caution: Do not include expenses reimbursed or paid by others. 1 Medical and dental expenses (see instructions) 2 Enter amount from Form 1040 or 1040-SR, line 8b 2 3 Multiply line 2 by 7.5% (0.075). .:. 4 Subtract line 3 from line 1. If line 3 is more than line 1, enter -0- 1 3 Taxes You 5 State and local taxes. Paid a State and local income taxes or general sales taxes. You may include either income taxes or general sales taxes on line 5a, but not both. If you elect to include general sales taxes instead of income taxes, check this box . b State and local real estate taxes (see instructions). c State and local personal property taxes dAdd lines 5a through 5c . . O 5a 5b .. ... 5c 5d e Enter the smaller of line 5d or $10,000 ($5,000 if married filing separately) - - . 5e 6 Other taxes. List type and amount 7 Add lines 5e and 6 8 Home mortgage interest and points. If you didn't use all of your home mortgage loan(s) to buy, build, or improve your home, see instructions and check this box . . 7 Interest You Paid Caution: Your mortgage interest deduction may be limited (see instructions). a Home mortgage interest and points reported to you on Form 1098. ... . . See instructions if limited 8a b Home mortgage interest not reported to you on Form 1098. See instructions if limited. If paid to the person from whom you bought the home, see instructions and show that person's name, identifying no., and address. 8b c Points not reported to you on Form 1098. See instructions for special 8c 8d rules d Mortgage insurance premiums (see instructions). e Add lines 8a through 8d 9 Investment interest. Attach Form 4952 if required. See instructions. 10 Add lines 8e and 9 8e 9 10 Gifts to Charity Caution: If you made a gift and got a benefit for it, see instructions. 13 Carryover from prior year 11 Gifts by cash or check. If you made any gift of $250 or more, see instructions . 11 12 Other than by cash or check. If you made any gift of $250 or more, 12 13 see instructions. You must attach Form 8283 if over $500. 14 Add lines 11 through 13 14 Casualty and 15 Casualty and theft loss(es) from a federally declared disaster (other than net qualified Theft Losses disaster losses). Attach Form 4684 and enter the amount from line 18 of that form. See instructions 15 16 Other-from list in instructions. List type and amount Other Itemized Deductions 16 Total Itemized Deductions 18 If you elect to itemize deductions even though they are less than your standard deduction, 17 Add the amounts in the far right column for lines 4 through 16. Also, enter this amount on Form 1040 or 1040-SR, line 9 17 check this box. For Paperwork Reduction Act Notice, see the Instructions for Forms 1040 and 1040-SR. Cat. No. 17145C Schedule A (Form 1040 or 1040-SR) 2019 Itemized Deductions SCHEDULE A (Form 1040 or 1040-SR) (Rev. January 2020) OMB No. 1545-0074 Go to www.irs.gov/ScheduleA for instructions and the latest information. 2019 Attach to Form 1040 or 1040-SR. Department of the Treasury Intermal Revenue Service (ge Caution: If you are claiming a net qualified disaster loss on Form 4684, see the instructions for line 16. Attachment Sequence No. 07 Your social security number Name(s) shown on Form 1040 or 1040-SR Medical and Dental Expenses Caution: Do not include expenses reimbursed or paid by others. 1 Medical and dental expenses (see instructions) 2 Enter amount from Form 1040 or 1040-SR, line 8b 2 3 Multiply line 2 by 7.5% (0.075). .:. 4 Subtract line 3 from line 1. If line 3 is more than line 1, enter -0- 1 3 Taxes You 5 State and local taxes. Paid a State and local income taxes or general sales taxes. You may include either income taxes or general sales taxes on line 5a, but not both. If you elect to include general sales taxes instead of income taxes, check this box . b State and local real estate taxes (see instructions). c State and local personal property taxes dAdd lines 5a through 5c . . O 5a 5b .. ... 5c 5d e Enter the smaller of line 5d or $10,000 ($5,000 if married filing separately) - - . 5e 6 Other taxes. List type and amount 7 Add lines 5e and 6 8 Home mortgage interest and points. If you didn't use all of your home mortgage loan(s) to buy, build, or improve your home, see instructions and check this box . . 7 Interest You Paid Caution: Your mortgage interest deduction may be limited (see instructions). a Home mortgage interest and points reported to you on Form 1098. ... . . See instructions if limited 8a b Home mortgage interest not reported to you on Form 1098. See instructions if limited. If paid to the person from whom you bought the home, see instructions and show that person's name, identifying no., and address. 8b c Points not reported to you on Form 1098. See instructions for special 8c 8d rules d Mortgage insurance premiums (see instructions). e Add lines 8a through 8d 9 Investment interest. Attach Form 4952 if required. See instructions. 10 Add lines 8e and 9 8e 9 10 Gifts to Charity Caution: If you made a gift and got a benefit for it, see instructions. 13 Carryover from prior year 11 Gifts by cash or check. If you made any gift of $250 or more, see instructions . 11 12 Other than by cash or check. If you made any gift of $250 or more, 12 13 see instructions. You must attach Form 8283 if over $500. 14 Add lines 11 through 13 14 Casualty and 15 Casualty and theft loss(es) from a federally declared disaster (other than net qualified Theft Losses disaster losses). Attach Form 4684 and enter the amount from line 18 of that form. See instructions 15 16 Other-from list in instructions. List type and amount Other Itemized Deductions 16 Total Itemized Deductions 18 If you elect to itemize deductions even though they are less than your standard deduction, 17 Add the amounts in the far right column for lines 4 through 16. Also, enter this amount on Form 1040 or 1040-SR, line 9 17 check this box. For Paperwork Reduction Act Notice, see the Instructions for Forms 1040 and 1040-SR. Cat. No. 17145C Schedule A (Form 1040 or 1040-SR) 2019

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Schedule A Itemised standard deduction are as follows Medical and dental expenditure Taxes you ... View the full answer