Schedule A is the IRS form that lets you itemize deductions instead of taking the standard deduction. Most people don’t use it because the standard deduction ($15,000 single / $30,000 married in 2026) is larger than their total deductible expenses. But if you pay significant mortgage interest, state taxes, or made large charitable contributions, Schedule A can cut your tax bill substantially.
Standard Deduction vs. Schedule A: The Decision
Before diving into Schedule A line by line, the core question is whether to use it at all.
2026 Standard Deduction
| Filing Status | Standard Deduction |
|---|---|
| Single | $15,000 |
| Married Filing Jointly | $30,000 |
| Head of Household | $22,500 |
| Married Filing Separately | $15,000 |
| Additional (age 65+ or blind, single) | +$1,850 |
| Additional (age 65+ or blind, MFJ per qualifying spouse) | +$1,500 |
If your Schedule A total is less than these amounts, the standard deduction is better.
Schedule A Line by Line
Lines 1–4: Medical and Dental Expenses
Line 1: Enter total qualified medical expenses paid for yourself, spouse, and dependents
Line 2: Your AGI (from Form 1040, Line 11)
Line 3: Multiply Line 2 by 7.5% (your floor)
Line 4: Subtract Line 3 from Line 1. This is your deductible medical expense — it can only be a positive number.
Only costs above 7.5% of AGI are deductible. For a $70,000 AGI, only medical expenses above $5,250 count.
Lines 5–6: State and Local Taxes (SALT)
Line 5a: State and local income taxes (or general sales taxes if you elect)
Line 5b: Real estate taxes
Line 5c: Personal property taxes
Line 5d: Other state/local taxes
Line 5e: Total, capped at $10,000 ($5,000 married filing separately)
This is the SALT deduction cap in action. Your total on Line 5e cannot exceed $10,000 regardless of what you paid.
Lines 8–9: Mortgage Interest
Line 8a: Mortgage interest reported on Form 1098 from your lender
Line 8b: Points paid on the loan (also on Form 1098)
Line 8c: Mortgage interest on a loan not reported on Form 1098 (hard money loans, private mortgages)
Line 9: Total mortgage interest
Key limits: For loans originated after December 15, 2017, interest is deductible on up to $750,000 of mortgage debt ($375,000 married filing separately). Older loans have a $1 million limit. Home equity loan interest is deductible only if the loan was used to buy, build, or substantially improve the home.
Line 10–11: Gifts to Charity
Line 11: Cash contributions to qualifying 501(c)(3) organizations (you need a receipt for $250+ donations)
Line 12: Non-cash contributions (clothing, goods, stock — typically require a separate Form 8283 for over $500 in total non-cash donations)
Line 13: Carryover from prior year if donations exceeded the AGI limit in a previous year
Cash donations to public charities are deductible up to 60% of AGI; stock and other property up to 30%.
Lines 15–16: Casualty and Theft Losses
Lines 15–16: Casualty and theft losses from federally declared disasters. Standard personal casualty losses are no longer broadly deductible — only losses in a presidentially declared disaster area qualify. Each loss must exceed $100, and total losses must exceed 10% of AGI.
Lines 16–17: Other Itemized Deductions
Line 16: Gambling losses (up to gambling winnings only)
Line 16: Certain impairment-related work expenses for disabled employees
Line 16: Repayment of previously taxed income (claim of right)
Most other miscellaneous deductions — including unreimbursed work expenses, investment fees, and tax prep fees — are suspended through at least 2025 under the Tax Cuts and Jobs Act.
Worked Example: Should Mark Itemize?
Mark is single, owns a home, and files for 2026:
| Deduction | Amount |
|---|---|
| State income tax | $7,200 |
| Property taxes | $4,800 |
| SALT subtotal | $12,000 → capped at $10,000 |
| Mortgage interest (Form 1098) | $9,400 |
| Charitable donations | $2,000 |
| Medical expenses ($62,000 AGI × 7.5% = $4,650 floor) | $6,100 − $4,650 = $1,450 |
| Schedule A Total | $22,850 |
Mark’s standard deduction is $15,000. Schedule A total of $22,850 is higher — so Mark should itemize, saving him $22,850 − $15,000 = $7,850 more in deductions.
At a 22% marginal rate: approximately $1,727 in additional tax savings from itemizing.
How to File Schedule A
- Gather documentation: W-2 (Box 17 for state taxes), Form 1098 (mortgage interest), donation receipts, property tax bills, medical expense records
- Complete Schedule A in your tax software or on paper
- The software automatically compares your Schedule A total to the standard deduction and chooses the larger one unless you override it
- Attach Schedule A to Form 1040
If itemizing for the first time, many tax software programs prompt you when itemizing would be beneficial.
Schedule A covers four main deduction categories: state and local taxes (subject to the $10,000 cap — see SALT deduction); mortgage interest; charitable contributions (see charitable donation deduction); and qualifying medical expenses above 7.5% of AGI (see medical expense deduction). For homeowners with significant mortgage interest and property tax, the tax deductions for homeowners guide covers how to maximize your Schedule A total.
The content on Wealthvieu is for informational purposes only and should not be considered financial, tax, or investment advice. Consult a qualified professional before making financial decisions. Full disclaimer · Editorial policy