Standard Deduction for Tax Year 2019
One hundred fifteenth congress of the United States of America, under section 11000 short title standard deduction for tax years 2019 up to 2025 has been amended.
Standard Deduction definition?
United States of America tax law considers a federal standard deduction or state standard deduction is a fixed dollar amount, which is claimed by tax payers who are not eligible for itemized deductions. The USA tax payer can choose either standard deduction or itemized deduction which reduces their taxable income in turn they pay less taxes on their tax returns.
What does Standard Deduction mean?
Standard tax deduction is a particular dollar amount which reduces your taxable income on tax returns according to 5 filing statuses, standard deduction will reduce your tax liability. The tax payers who are blind and over 65 years of age can get additional standard deduction.
How much is the standard deduction?
Below is the more information regarding filing status and its standard deduction for tax years 2019 up to 2025.
- Married Filing Jointly (MFJ): Standard Deduction Amount is $24400
- Married Filing Separately (MFS): Standard Deduction Amount is $12200
- SINGLE – Unmarried: Standard Deduction Amount is $12200
- Head of the Household (HOH): Standard Deduction Amount is $18350
- Qualifying Widower with a Dependent Child (QWDC): Standard Deduction Amount is $24400
Let’s go through information below about Filing Statuses and Standard Deduction Amount:
Married Filing Jointly:
What is Married Filing Jointly (MFJ)?
MFJ – Married Filing Jointly: Both the spouses income whether earned or unearned income can be added on MFJ tax return, in turn a primary tax payer can claim a standard deduction amount of $24400 on tax returns. Even if one spouse has income and the other does not still a husband and wife can file their filing status as MFJ. When MFJ tax return is filed both the spouses will be liable for taxes.
- The marriage should have happen any day of a tax year for which you are filing your tax returns.
- Marriage should have been recognized by any state government.
- The married couple can file MFJ though they did not live together, but should not have been divorced.
How does standard deduction works?
As we learned that standard deduction reduces your taxable income, let’s go through the tax brackets below by which your taxable income is calculated for Married Filing Jointly (MFJ).
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Married Filing Separately
What is Married Filing Separately (MFS)?
MFS – Married Filing Separately is a tax filing status on tax returns where a couple choose to file taxes separately or do not want to file their tax returns jointly. The standard deduction for the Married Filing Separately is $12200.
Who can File MFS – Married Filing Separately?
A married couple can file their tax returns separately by disclosing their income on a separate tax returns, it means both the spouses will show their income and claim their exemptions, deductions credits separately by choosing Married Filing Separately status.
What is MFS – Married Filing Separately features?
- Filing Married Filing Separate tax return will make you pay more taxes, since there is a difference in tax brackets comparing to Married Filing Jointly.
- 50% of exemption amount is allowed to claim as Alternative Minimum Tax when it is joint tax returns (MFJ).
- Premium Tax Credit, Earned Income Tax Credit, Adoption, Education, Child Care, may be limited or will not be allowed
- The deduction on capital losses is just $1500 which is half of the allowable deduction on a Married Filing Joint tax return.
- The standard deduction is $12200 which is half of the amount of Married filing joint $24400, cannot be claimed when a tax payers spouse itemizes deductions.
What are the reasons for filing MFS – Married Filing Separate tax returns?
- One of the spouse does not want to be responsible for the other spouse tax obligations
- The other spouse has a large casualty loss or high medical expenses
- If Married Filing Separately may lower tax liability or lower adjusted gross income, which can allow a spouse to more expenses or losses.
- To offset the other spouse debt
Single Tax Filing Status
What is Single tax filing Status?
A tax payer is considered single if he/she had not been married on or before the last day of the tax year which is before December 31st. The standard deduction for Single Tax Filing is $12200.
Who can file Singe tax filing status?
- Legally divorced or separated
- Widowed on or before the tax year (December 31st).
Tax brackets for Single Filers?
The tax brackets for MFS – Married filing separately and Single tax filing is same, let’s go through the detailed tax brackets below.
Check : Single Tax Brackets 2019
Head of Household:
What is head of household filing status (HOH)?
A tax payer can file head of household filing status, whether he/she is married or unmarried but takes care of the home or qualified person’s expenses.
HOH – Head of Household: A tax payer can file head of household filing status, whether he/she is married or unmarried but takes care of the home or qualified person’s expenses. The standard deduction for Head of house hold is $18350.
Who can file head of household 2019?
- The tax payer should be legally separated, single, divorced, or should have been consider unmarried before December 31st.
- The tax payers qualifying dependent should have lived with the tax payer for more than 6 months
- The taxpayer should have paid at least 6 months of household expenses out of 12 months period of a tax year
- Filing separate tax returns instead of filing married filing joint tax return
- Did not live with the spouse for more than 6 months
- Meeting the expenses of a home which is main residence of a qualifying child, foster child or stepchild for more than a 6 months of a tax year
- Must be eligible to claim the child exemption
What are the eligible household expenses?
Below are the expenses considered under household expenses.
- Mortgage interest, Rent, property taxes
- Repairs, utilities, home insurance, food expenses incurred at home
- Medical treatment, vacations, life insurance, clothing, transportation
Who is qualified person to be claimed on head of household tax returns?
- A child of a married
- Qualified child according to the IRS guidelines
- A parent who is depending on the tax payer
Qualifying Widow(er) with a Dependent Child (QWDC):
What is Qualifying Widower Filing Status?
Qualifying widower with a dependent child filing status is an option chosen by a taxpayer for the following two years of the other spouse death. Surviving spouse can file MFJ – Married Filing Joint return with the standard deduction for a tax year in which spouse expired.
What are the conditions to file Qualifying Widower Filing Status?
- Should not remarry before December 31st of a tax year
- Should have a dependent child
- Should have met at least half of the expenses of qualified child and home expenses for entire year
How many years a widower can file Qualified Widower Filing Status?
Surviving spouse can file Qualifying widower filing states for two years following the year of his/her spouse death.
Tax brackets for Qualifying Widow(er) with a Dependent Child (QWDC)
|Up to $19,400||10% on Taxable Income|
|$19,401 up to $78,950||$1,940+ 12% additional tax over the income of $19,401|
|$78,951 up to $168,400||$9,086 + 22% of additional tax over the income of $78,951|
|$168,401 up to $321,450||$28,765 + 24% of additional tax over the income of $168,401|
|$321,451 up to $408,200||$65497 + 32% of additional tax over the income of $321,451|
|$408,201 up to $612,350||$93,257 + 35% of additional tax over the income of $408,201|
|$612,351 and Over||$164,709 + 37% of additional tax over the income of $612,351|
What is 2018 Filing Status & 2018 Standard Deduction Table?
|Filing Status||Standard Deduction|
|Married Filing Jointly Status||$24000|
|Married Filing Separately Filing Status||$12000|
|Single Filing Status||$12000|
|Head of the Household Filing Status||$18000|
|Qualifying Widow(er) Filing Status||$24000|
What is 2017 Filing Status & 2017 Standard Deduction?
|Filing Status||Standard Deduction|
|Married Filing Jointly Status||$12700|
|Married Filing Separately Filing Status||$6350|
|Single Filing Status||$6350|
|Head of the Household Filing Status||$9,350|
|Qualifying Widow(er) Filing Status||$12,700|
What is 2016 Filing Status & 2016 Standard Deduction?
|Filing Status||Standard Deduction|
|Married Filing Jointly Status||$12600|
|Married Filing Separately Filing Status||$6300|
|Single Filing Status||$6300|
|Head of the Household Filing Status||$9,300|
|Qualifying Widow(er) Filing Status||$12,600|