After Congress approved tax reform and the focus has completely shifted to new tax rates, it became easy to overlook that a large majority of the changes don’t actually have to do with tax rates—they have to do with deductions.
Initially, this change in the standard deduction amounts was intended to simplify the entire deduction scheme. Most itemized deductions would have essentially vanished, leaving behind only the charitable donation deduction and the home mortgage interest deduction. Over the past few weeks, though, those itemized deductions that are found on Schedule A have been modified.
Download our handout to learn more about the Tax Cuts and Jobs Act (TCJA) will impact both standard and itemized deductions and personal exemptions.