Sentences with phrase «higher federal standard deduction»
The state Senate bill approved Tuesday would remove the existing state prohibition on itemizing a state income tax return if the taxpayer decides to take the higher federal standard deduction.
http://www.nystateofpolitics.com/ Not exact matches
«For a high tax state like New York, state and local tax deductibility has been a very important component of the federal tax code,» said DiNapoli who said even with a proposed higher standard deduction it's still not a «win» for New York taxpayers.
The new federal tax law negatively affects wealthy New Yorkers because they tend to itemize their deductions and the new higher standard deduction is not enough to cover what they pay in state and local taxes.
«For a high - tax state like New York, state and local tax deductibility has been a very important component of the federal tax code,» said DiNapoli, who added that even with a proposed higher standard deduction, it's still not a «win» for New York taxpayers.
My scenario isn't particularly «generous» — only a high wage earner would qualify for an $ 800,000 mortgage, and the interest paid on that mortgage, as well as the property tax, significantly exceeds the standard deduction, as does the state income tax likely paid by that wage earner (as an example, I pay tens of thousands of dollars in state income tax in California — all deductible from my federal tax return).
Head of Household often allows a higher standard deduction than filing single, along with federal and state credits that may help lower taxes if you meet head of household requirements.
Changes being considered include the elimination of the federal tax deduction for state and local taxes, a proposal to double the standard deduction — which would effectively nullify the value of the mortgage interest deduction for all but the highest - earning families — and a cap on the amount of mortgage interest that could be deducted.