Standard Deduction Exceptions for 2015 US Federal Income Tax Returns

Summary: Three standard deduction exceptions apply to taxpayers filing 2015 U.S. federal income tax returns.

standard deduction for dependents, Form 1040 instructions 2015, p. 39: Department of the Treasury Internal Revenue Service via IRS

The standard deduction is one of two options available to taxpayers filing US federal income tax returns as a tax benefit for reducing taxable income.

Many US taxpayers select from three standard deduction amounts in accordance with their filing status.

Three exceptions exist, nevertheless, for claiming the standard deduction.

Exception 1:

A taxpayer who may be claimed as a dependent on another filer's return must figure the standard deduction by completing the Standard Deduction Worksheet for Dependents.

This also applies if a taxpayer's spouse on a Married Filing Jointly return may be claimed as a dependent on another filer's return.

How to determine standard deduction for taxpayer who may be claimed as dependent on someone else's return:

Earned Income*	Computation	Entries
If earned income is more than $700:	Add $350 to the amount of earned income and enter total on line 1a.	1a:
If earned income is not more than $700:	Enter $1,050 on line 1b.	1b:
Filing Status	Computation	Entries
Head of Household	Enter $9,250 on line 2a.	2a:
Married Filing Jointly	Enter $12,600 on line 2b.	2b:
Married Filing Separately	Enter $6,300 on line 2c.	2c:
Qualifying Widow(er) with Dependent Child	Enter $12,600 on line 2d.	2d:
Single	Enter $6,300 on line 2e.	2e:
Standard Deduction	Computation	Entries
Enter smaller of line 1 or line 2 on line 3a.	Amount on line 3a is standard deduction for 2014 tax return for taxpayers born after January 1, 1951, and not blind.	3a:
If born before January 2, 1951, and/or blind:	Multiply total for age and/or blindness by $1,550 if filing as Head of Household or as Single, and enter on line 3b.	3b:
	Multiply total for age and/or blindness by $1,250 if filing as Married Filing Jointly or Married Filing Separately or Qualifying Widow(er), and enter on line 3c.	3c:
Add lines 3a + 3b.	Enter total on line 3c. This is standard deduction for taxpayer's 2015 tax return.	3d:

* earned income = compensation such as professional fees, salaries, tips, and wages; taxable fellowships; taxable scholarships.

Exception 2:

Filers must calculate the standard deduction by using the Standard Deduction Chart for People Who Were Born Before Jan. 2, 1951, or Were Blind if any of the following apply: taxpayer has a birthdate before Jan. 2, 1951; taxpayer is blind; taxpayer's spouse has a birthdate before Jan. 2, 1951; taxpayer's spouse is blind.

Reminder: Those filers who meet any of the above criteria but who also may be claimed as a dependent on someone else's return must determine their standard deduction according to Exception 1.

In determining the standard deduction, the taxpayer refers to the number of boxes checked in the section below the adjusted gross income (AGI) line and above the itemized deductions/standard deduction line. The total number possible is four. Check if you were born before Jan. 2, 1951; if you are blind. Check if spouse was born before Jan. 2, 1951; if spouse is blind.

For Married Filing Separately status, the taxpayer may include spouse's status as blind and/or aged in standard deduction computation only if spouse: (a) has no gross income and (b) is not filing a return and  (c) may not be claimed as dependent on another taxpayer's return.

For two years after the year of a spouse's death, a surviving spouse may file as Qualifying Widow(er) with Dependent Child and also may include the deceased spouse's age and/or blindness qualifiers in the standard deduction computation.

How to determine standard deduction for taxpayers who were born before Jan. 2, 1951, and/or who are blind:

Filing Status	Number of boxes checked	Standard Deduction
Head of Household
	1	$10,800
	2	$12,350
Married Filing Jointly
	1	$13,850
	2	$15,100
	3	$16,350
	4	$17,600
Married Filing Separately
	1	$7,550
	2	$8,800
	3	$10,050
	4	$11,300
Qualifying Widow(er) with Dependent Child
	1	$13,850
	2	$15,100
	3	$16,350
	4	$17,600
Single
	1	$7,850
	2	$9,400

Exception 3:

The standard deduction is $0.00 (zero) if, during the tax year, the taxpayer was a dual status alien, i.e., both a resident alien and a nonresident alien within the same tax year.

The standard deduction also is $0.00 (zero) if the taxpayer's spouse itemizes deductions on a separate return.

Standard deduction: tax benefit available for exceptions

The standard deduction is considered as a tax benefit because its amount reduces the adjusted gross income (AGI) from which taxable income is determined.

Standard deduction exceptions exist to make adjustments in the standard amounts according to such qualifiers as being claimed as a dependent on someone else's return or meeting age and blindness requirements.

Only the third exception, applicable to dual-status aliens and taxpayer's whose spouse itemizes on a separate return, results in no standard deduction.

standard deductions for people born before Jan. 2, 1951, or were blind, Form 1040 instructions 2015, p. 40: Department of the Treasury Internal Revenue Service via IRS

Acknowledgment

My special thanks to talented artists and photographers/concerned organizations who make their fine images available on the internet.

Image credits:

standard deduction for dependents, Form 1040 instructions 2015, p. 39: Department of the Treasury Internal Revenue Service via IRS @ https://www.irs.gov/pub/irs-pdf/i1040gi.pdf

standard deductions for people born before Jan. 2, 1951, or were blind, Form 1040 instructions 2015, p. 40: Department of the Treasury Internal Revenue Service via IRS @ https://www.irs.gov/pub/irs-pdf/i1040gi.pdf

For further information:

Marriner, Derdriu. "Standard Deductions for 2015 US Tax Returns." Earth and Space News. Sunday, Jan. 31, 2016.
Available @ https://earth-and-space-news.blogspot.com/2016/01/standard-deductions-for-2015-us-tax.html