Ok, tax wizards of FR. I usually itemize, but the calculators posted in this thread say I will save a lot if I opt instead for the standard deduction. Are there any tax or accounting rules forbidding me from deciding “hey, this year I don’t wanna itemize”?
I suppose you could take the lower itemized amount...but why?
No. There is no rule that says if you itemized previously that you cannot opt not to in any subsequent year and the IRS allows you to choose which ever method from year to year that allows you to pay the lower amount of tax. Keep in mind that tax avoidance by following the rules is perfectly legal whereas tax evasion (hiding, not reporting taxable income or claiming deductions you are not entitle to) is not.
In fact, many tax programs like H&R Block Tax Cut, Turbo Tax, etc., lets you enter what you are able to deduct if itemizing and then will tell you if you pay more or less by taking the standard deduction.
Ok, tax wizards of FR. I usually itemize, but the calculators posted in this thread say I will save a lot if I opt instead for the standard deduction. Are there any tax or accounting rules forbidding me from deciding “hey, this year I don’t wanna itemize”?>>>> they are eliminating the big itemization categories. you don’t have anything to itemize. those are gone. it’s simpler don’t you know. you pay more but it is simpler. no reduction of the IRS spending in the plan. why? it’s simpler don’t you know. /s