Figures last verified against primary sources on . See methodology and corrections.
Standard Deduction or Itemize: One $12,000 Schedule A Loses Federally and Wins in New York and California
The rule is to take whichever deduction is larger: the standard deduction, a flat amount set by filing status, or the itemized total from Schedule A. For 2026 the federal standard deduction is $16,100 for a single filer and $32,200 on a joint return (Rev. Proc. 2025-32), and the Tax Foundation projects that about 14 percent of filers will itemize (Tax Foundation).
The state return can come out the other way. A filer who takes the federal standard deduction may still be better off itemizing for the state, and whether the state allows that depends on the state.
What goes on Schedule A
The Schedule A instructions admit four main groups of expenses:
- State and local taxes: income or sales tax plus property tax, capped at $40,400 for 2026. The cap shrinks once modified AGI passes $505,000 and stops at $10,000 (26 U.S.C. §164).
- Mortgage interest on up to $750,000 of acquisition debt.
- Charitable gifts, which from 2026 count only above 0.5% of AGI for an itemizer (§170).
- Medical and dental bills above 7.5% of AGI.
A filer who does not itemize gets one 2026 extra: up to $1,000 of cash gifts, $2,000 joint, on top of the standard deduction (§170(p)). So a single giver's itemized total has to beat $17,100 for Schedule A to pay, not $16,100. The 2026 itemizing breakeven piece works through the federal arithmetic household by household.
One filer, three answers
Take a single filer with $60,000 of wages who pays $7,000 of mortgage interest and $3,000 of property tax and gives $2,000 to charity. Those three come to $12,000. Federally, Schedule A also counts the year's state income tax, but even adding the $2,643 a New Yorker owes at this pay leaves the total short of $16,100, so the filer takes the standard deduction.
| Same $12,000 of expenses | Standard deduction | Itemize? | What itemizing is worth |
|---|---|---|---|
| Federal | $16,100 | No | Nothing; the standard deduction is larger |
| New York | $8,000 | Yes, $4,000 more | $216 |
| California | $5,706 | Yes, $6,294 more | $378 |
New York's instructions say a filer "may take either the New York standard deduction or the New York itemized deduction" and compare Form IT-196 with the state's own table (IT-201 instructions), whatever was done federally. California tells filers their tax "will be less if you take the larger of" the California itemized deductions and the California standard deduction, and adds that the state's standard amounts "are less than the federal standard deduction amounts" (Form 540 booklet).
Neither state lets the filer deduct its own income tax. California "does not allow a deduction for state and local income tax" on Schedule CA (FTB), which is why this filer's California itemized total is the $12,000 of other expenses and not more.
The states that tie the choice to the federal one
Georgia and Virginia do not leave the state choice open. Georgia's booklet says: "If you use the standard deduction on your Federal return, you must use the Georgia standard deduction on your Georgia return" (IT-511). Virginia runs the rule the other way: "You must claim itemized deductions on your Virginia return if you claimed itemized deductions on your federal return" (Form 760 instructions).
In those states, the federal comparison also settles the state deduction. A filer whose itemized total falls between the state's standard deduction and the federal one, the case where New York and California would let them itemize, takes the standard deduction in Georgia.
States that begin from federal taxable income go further, because the federal deduction is already subtracted before the state return starts. Colorado's Form DR 0104 opens at Form 1040 line 15 (Colorado DOR), so whichever deduction the filer took federally is the one Colorado uses.
The deduction choice is worth checking on both returns in a state with its own itemized deduction and a standard deduction well below $16,100. A filer whose deductible expenses fall between the state's standard deduction and the federal one takes the standard deduction federally and can still save state tax by itemizing.
Sources
Ordered by authority — the law and the agencies administering it first. Every link is checked for rot; see all sources.
- Primary law26 U.S.C. §164 — TaxesOffice of the Law Revision Counsel · checked 2026-08-02The SALT deduction, its dollar limitation, and the limitation’s sunset.Other articles citing this source
- Primary law26 U.S.C. §170 — Charitable, etc., contributions and giftsOffice of the Law Revision Counsel · checked 2026-09-01The §170(p) non-itemizer deduction ($1,000/$2,000, cash only, excluding donor-advised funds and §509(a)(3) organizations) and the §170(b)(1)(I) 0.5%-of-contribution-base floor for itemizers, added by Pub. L. 119-21 §§70424 and 70425 for taxable years beginning after December 31, 2025.Other articles citing this source
- Government2025 California Resident Income Tax Return Form 540 bookletCalifornia Franchise Tax Board · checked 2026-10-21Schedule CA (540) instructions, Part I Section B line 7: "California excludes unemployment compensation from taxable income." The amount in column A is entered in column B as a subtraction. Line 18: tax "will be less if you take the larger of" California itemized deductions or the California standard deduction ($5,706 single for 2025), whose amounts "are less than the federal standard deduction amounts."Other articles citing this source
- Government2025 Instructions for Schedule CA (540)California Franchise Tax Board · checked 2026-10-21Line 1h: enter any employer HSA contribution from W-2 box 12 code W in column C (addition). Line 13: "California law does not conform"; the federal HSA deduction goes in column B. Line 2: HSA interest or earnings "are taxable in the year earned." Line 8f: HSA distributions not used for qualified medical expenses are not taxable for California. Part II line 5a: "California does not allow a deduction for state and local income tax".Other articles citing this source
- GovernmentColorado Individual Income Tax Return, Form DR 0104 (2025)Colorado Department of Revenue · checked 2026-09-01Line 1 starts the return at federal taxable income — Form 1040 line 15 — so a deduction that lowers line 15 lowers the Colorado base by the same amount. The host serves 403 to non-browser clients; fetch with a browser user-agent.Other articles citing this source
- Government2025 IT-511 individual income tax bookletGeorgia Department of Revenue · checked 2026-10-21Schedule 1 subtracts Social Security and railroad retirement benefits included in federal AGI. Line 10: "If you use the standard deduction on your Federal return, you must use the Georgia standard deduction on your Georgia return."Other articles citing this source
- GovernmentInstructions for Schedule A (Form 1040), Itemized DeductionsInternal Revenue Service · checked 2026-10-20Line-by-line rules for SALT, mortgage interest, charitable gifts, and the medical expense floor.Other articles citing this source
- GovernmentRevenue Procedure 2025-32 — tax year 2026 inflation adjustmentsInternal Revenue Service · checked 2026-10-20The revenue procedure itself: the §1(j)(2) rate tables with their formula rows, the capital-gains thresholds, the child tax credit amount, the §4.14 standard-deduction rows and §63(f) aged/blind additional amounts, and the §2 background listing which OBBBA sections changed each figure.Other articles citing this source
- Government2025 Form IT-201 instructionsNew York State Department of Taxation and Finance · checked 2026-10-21Lines 26 and 27 subtract New York State and local government pensions and federal pensions (including military) in full; Social Security is subtracted. Line 29: a pension and annuity exclusion of up to $20,000 per person 59½ or older, which includes IRA distributions. Line 34: "You may take either the New York standard deduction or the New York itemized deduction," comparing Form IT-196 line 49 with the standard deduction table. Lines 54a–54e: the MCTMT applies if an individual’s net earnings from self-employment allocated to Zone 1 (the five New York City counties) or Zone 2 (Dutchess, Nassau, Orange, Putnam, Rockland, Suffolk, Westchester) exceed $50,000 for the tax year, figured per individual even on a joint return.Other articles citing this source
- Government2025 Virginia Form 760 resident individual income tax instructionsVirginia Department of Taxation · checked 2026-10-21You must file if you are single and your Virginia adjusted gross income is $11,950 or more (2025). Line 10: "You must claim itemized deductions on your Virginia return if you claimed itemized deductions on your federal return."Other articles citing this source
- ResearchFAQ: The One Big Beautiful Bill, ExplainedTax Foundation · published 2025-07-23 · checked 2026-09-01OBBBA explainer, updated December 2025; cited for the projection that about 14.2 percent of taxpayers itemize in 2026 under the Act.Other articles citing this source