What is Standard deduction?

The standard deduction is a flat amount you can subtract from your income before calculating tax. Most taxpayers claim it instead of itemizing. Established under Internal Revenue Code Section 63, the standard deduction varies based on the taxpayer's filing status, age, and whether they are blind. The IRS adjusts standard deduction amounts annually for inflation.

For the 2026 tax year, the standard deduction is $16,100 for single filers, $32,200 for married couples filing jointly, and $24,150 for heads of household (up from $15,750, $31,500, and $23,625 in 2025 respectively). Additionally, under provisions of Public Law 119-21, taxpayers age 65 or older may be eligible to claim an enhanced deduction of an additional $6,000 ($12,000 for joint filers if both qualify) for tax years 2025 through 2028.

The standard deduction simplifies tax filing for the vast majority of taxpayers. If a taxpayer's total itemizable expenses (such as mortgage interest, state and local taxes, and charitable contributions) are less than the standard deduction, claiming the standard deduction is the most financially advantageous choice.

While the standard deduction is accessible to most U.S. citizens and resident aliens, the IRS enforces strict eligibility boundaries. For instance, married taxpayers filing separately are subject to a consistency rule: if one spouse elects to itemize their deductions on Schedule A, the other spouse is legally barred from claiming the standard deduction and must also itemize, even if their itemized expenses are zero. Additionally, individuals filing as nonresident aliens are generally disqualified from using the standard deduction. For dependents claimed on another taxpayer's return, their standard deduction is restricted to a limited formula, typically the greater of a baseline amount (such as $1,250) or their earned income plus a small buffer (such as $400), up to the maximum standard deduction for their filing status. This dynamic prevents double-deducting of the same basic living costs on multiple tax returns.