Becker Professional Education: Standard and Itemized Deductions (2026 Regulations)

Detailed practice flashcards covering standard deductions, itemized deductions including medical, taxes, interest, casualty losses, and charitable contributions based on 2026 Becker CPA review materials.

What is the standard deduction for a taxpayer with 'Married filing jointly or surviving spouse' status in tax year 2026?

$$32,200$$

Under what condition can a 'Married filing separately' taxpayer use the standard deduction?

They can only use it if both the taxpayer and their spouse do not itemize.

What are the standard deduction amounts for Single and Head of household filers in tax year 2026?

Single: $16,100$; Head of household: $24,150$

How much is the additional standard deduction for an unmarried taxpayer who is both age 65 and blind in 2026?

$4,100$ ($2,050 \times 2$)

For a married filing joint return where both spouses are age 66, what is the total standard deduction for tax year 2026?

$35,500$ ($32,200$ base + $3,300$ additional for two qualified elderly taxpayers)

What is the standard deduction formula for a dependent of another in 2026?

The greater of $1,350$ or (Earned income + $450$), limited by the regular standard deduction for the tax year.

If an individual takes the standard deduction, what is the limit for deductible cash contributions to public charities for MFJ and other filers?

Up to $2,000$ for MFJ filers and up to $1,000$ for all other filers.

When is a taxpayer required to itemize deductions on Schedule A?

A taxpayer itemizes when 'from AGI' deductions are greater than the standard deduction.

In terms of medical expenses, for which individuals can a taxpayer pay and qualify for a deduction?

The filing taxpayer, spouse, and a dependent who received more than half of their support from the taxpayer (ignoring gross income and joint return tests).

What is the AGI floor for the deduction of qualified medical expenses?

$7.5\%$ of AGI.

Are elective cosmetic operations deductible as medical expenses?

No, unless the cosmetic surgery is required due to an accident or deformity.

How do physical disability costs for structural barriers in a residence affect the medical expense deduction?

They are treated as medical expenses, but must be reduced by the increased value of the home.

What is the aggregate limit for state and local taxes (SALT) as an itemized deduction in 2026?

$40,400$ for all filers except MFS.

At what MAGI threshold does the SALT deduction begin to phase out in 2026, and by how much?

It phases out if MAGI exceeds $505,000$ at a rate of $30$ cents for every dollar above the threshold; the deduction cannot be reduced below $10,000$.

What are the two floor requirements for deducting nonbusiness property casualty losses?

1. Each individual loss must exceed $100$. 2. The aggregate of those excess losses must exceed $10\%$ of AGI.

Nonbusiness property casualty losses are only deductible if they occur in what kind of area?

Federal or state-declared disaster areas.

What is the limitation on gambling loss deductions?

They are limited to $90\%$ of the losses for the tax year and cannot exceed the gambling winnings reported as income.

What is the principal limit for deductible home mortgage interest on a first or second home?

Interest on up to $750,000$ ($375,000$ MFS) of home-related indebtedness.

How is interest on home-related principal exceeding $750,000$ treated?

It is treated as personal interest and is not deductible.

What is the deduction limit for individual investment interest expense?

It is limited to net taxable investment income.

Which form of investment income is excluded from net taxable investment income for interest deduction purposes?

Interest expense used to purchase tax-free bonds is not deductible.

How is the value of a charitable contribution determined if ordinary income property is donated?

It is the lesser of the property's adjusted basis or its fair market value (FMV) at the time of contribution.

What is the AGI limitation for cash contributions to public charities?

$60\%$ of AGI.

What is the AGI limitation for the contribution of Long-Term Capital Gain (LTCG) property to public charities?

$30\%$ of AGI.

According to the notes, what is the 'AGI floor' applied to the aggregate of all charitable contributions?

$0.5\%$ of AGI.

What is the carryforward period for charitable contributions that exceed AGI ceiling limitations?

Five years.

How much can a taxpayer deduct for a student (not beyond 12th grade) living in their home while attending school?

Up to $50$ per month for each full month (15 or more days) the student is in the home.

What substantiation is required for noncash property contributions exceeding $5,000$?

The taxpayer must file Form 8283 and obtain a written appraisal for each item or group donated (excluding publicly traded securities).

What is the above-the-line deduction limit for educator expenses in 2026?

$$350$$

How is the reduction of itemized deductions calculated for taxpayers in the 37 percent bracket?

The total is reduced by $2/37$ of the lesser of (total itemized deductions) or (the amount taxable income plus itemized deductions exceeds the $37\%$ bracket threshold).