Your total itemized deductions are more than your standard deduction · You do not qualify to claim the standard deduction · Visit 2024 Instructions for Schedule CA (540) or 2024 Instructions for Schedule CA (540NR) for more information. Last updated: 09/24/2025 ·

3 days ago - For heads of household and married couples filing jointly, the standard deduction is $11,080. An itemized deduction is basically a line-item receipt for expenses you paid during the tax year that qualify as legitimate deductions.

We have automatically carried over your itemized deductions from your federal return to your California return. However, you may need to make manually adjustments to the following:State and Local T...

If there are differences between your federal and California deductions, complete Schedule CA (540). Follow the instructions for Schedule CA (540). Enter on line 16 the amount from Schedule CA (540), Part I, line 27, column C. If a negative amount, see Schedule CA (540), Part I, line 27 instructions. Decide whether to itemize your charitable contributions, medical expenses, mortgage interest paid, taxes, etc., or take the standard deduction.

Here's what you need to know about the new tax deductions in California for 2025. The standard deduction is a specific amount that taxpayers can deduct from their taxable income, reducing the amount of income that is subject to tax. For many individuals, the standard deduction is the most straightforward option, as it eliminates the need to itemize deductions.

July 7, 2025 - All the dollar amounts above are increased by 1% per year after 2025. State workarounds with pass-through entity taxes are still allowed, and California just extended this approach through 2030.

3 weeks ago - So, your allowable itemized deductions will be $94,595 ($100,000 − $5,405). That amount will deliver a tax benefit of $35,000 (37% × $94,595), which is 35% of $100,000. ... Do you expect to be in the 37% bracket in 2026?

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Use Schedule CA (540) to make adjustments to your federal adjusted gross income and to your federal itemized deductions using California law.

September 23, 2025 - For 2025, the SALT deduction limit is temporarily increased to $40,000 for taxpayers earning $500,000 or less, up from the previous $10,000 cap. This means if your total state and local taxes, including property taxes, exceed $40,000, you can ...

Reference Number: NFC-25-1741290981 ... and Head of Household has changed from $35,538 to $36,736. The standard deduction for Married with 0 OR 1 Exemption and Single has changed from $5,363 to $5,540....

August 13, 2025 - Also, for tax years 2025 through 2028, people who are age 65 and older can claim an additional $6,000 deduction per qualified individual whether they itemize or not. The additional deduction begins to phase out at incomes of $75,000 for single ...

Use our income tax calculator to estimate how much tax you might pay on your taxable income. Your tax is $0 if your income is less than the 2024-2025 standard deduction determined by your filing status and whether you’re age 65 or older and/or blind.

Recent legislation provided four new deductions that take effect beginning in 2025. These new deductions are no tax on tips, no tax on overtime, no tax on car loan interest, and the enhanced deduction for seniors. If you are eligible, you can claim these deductions even if you itemize on Schedule A.

Drake Tax - Form Availability and Tax Changes: California · Supported Forms · 2025 · Tax Tables · Standard Deductions · Reduction in Itemized Deductions · Exemption Credits · Earned Income Credit Limits · 2024 · New Forms · Tax Law Changes · Tax Tables ·

March 21, 2025 - Check the status of your California ... filed in 2025) are $5,540 (Single or Married/RDP Filing Separately) and $11,080 (Married/RDP Filing Jointly, Qualifying Surviving Spouse, or Head of Household)....

June 26, 2025 - A provision in the Republicans’ tax and spending bill will help determine a limit on what high-income Californians can deduct on their taxes, but Congress disagrees on how much. After the passage of the 2017 tax bill during President Donald Trump’s first term, California taxpayers who itemize deductions saw their ability to deduct their full state and local income taxes and property taxes go away — to help the federal government pay for corporate tax cuts.

2 weeks ago - Student Loan Interest California generally conforms to federal rules, allowing a deduction of up to $2,500 for interest paid on qualified student loans, subject to income-based phase-outs.

Itemized Deductions. The limitation on itemized deductions was previously eliminated for tax years 2018 - 2025.

Explore whether itemizing your California tax deductions is beneficial this year amid new tax laws. Learn about standard vs. itemized deductions and effects.