These amounts represent increases from the 2023 tax year, when the standard deduction was $13,850 for single filers, $27,700 for married couples filing jointly, and $20,800 for heads of household. The law that created the current framework nearly doubled the base amounts starting in 2018 and indexed them annually to inflation using the Chained Consumer Price Index (C-CPI-U). Taxpayers subtract the standard deduction from their adjusted gross income to determine taxable income, lowering their federal income tax liability.
For example, a single filer with $50,000 of AGI in 2024 would have taxable income of $35,400 after applying the $14,600 standard deduction. Additional standard deduction amounts apply to taxpayers who are 65 or older or blind: $1,850 extra for single or head of household filers, and $1,500 extra per qualifying individual for married filers in 2024.
These supplemental amounts are also adjusted annually for inflation. The IRS estimates that approximately 90% of individual taxpayers take the standard deduction rather than itemizing, due to its simplicity and the increased threshold making itemization less advantageous for many. Taxpayers must choose between taking the standard deduction or itemizing deductions on Schedule A of Form 1040, whichever results in a lower tax bill.
Common itemized deductions include mortgage interest, state and local taxes (capped at $10,000), charitable contributions, and medical expenses exceeding 7.5% of AGI. The standard deduction does not affect eligibility for certain tax credits, such as the earned income tax credit or child tax credit, which are calculated based on AGI or modified AGI.
The Tax Foundation estimated in 2023 that the standard deduction reduced federal individual income tax revenue by approximately $1.2 trillion annually, reflecting its broad impact on the tax code. The IRS publishes these amounts annually in Revenue Procedures, with the 2024 figures released in Rev. Proc. 2023-34.
The standard deduction cannot be used by certain taxpayers, including married individuals filing separately when their spouse itemizes, nonresident aliens, or individuals filing a return for less than 12 months due to a change in accounting period. The IRS provides an interactive tax assistant tool on IRS.gov to help taxpayers determine whether to take the standard deduction or itemize based on their specific circumstances.
