Was your tax refund bigger this year?

[Lottoguy]

I didn't realize the big change the IRS made to the standard deduction for 2021. Because of that my refund was three times the normal amount. In 2022 tax year the standard deduction will be reduced by about $1,700.
Were you also surprised by your refund too?

[Chi-Town]

For 2021 tax return, the standard deduction is now $12,550 for single filers (an increase of $150) and $25,100 for married couples filing jointly (an increase of $300). For heads of households, the standard deduction is now $18,800 (an increase of $150). These increases are inflation adjustments.
Not too much to make a big difference. Perhaps a change ib the tax brackets.

[justjim]

Probably like some in TV we have not yet filed our 2021 tax return We are waiting on a couple of tax pieces to reach us by “pony express”. Congratulations on your surprise refund. Thanks for sharing as perhaps we will be surprised too. Assuming you are correct about 2022, perhaps you better “save” this years windfall for next year taxes.

[rustyp]

For 2021 tax return, the standard deduction is now $12,550 for single filers (an increase of $150) and $25,100 for married couples filing jointly (an increase of $300). For heads of households, the standard deduction is now $18,800 (an increase of $150). These increases are inflation adjustments.
Not too much to make a big difference. Perhaps a change ib the tax brackets.

Those deductions are for filers under 65 years old.

If 65 or older for 2021 tax year the standard deduction is :
single filer - $14250
married filing joint both over 65 - $27800 - for 2022 this number increases to $28700

[rustyp]

I didn't realize the big change the IRS made to the standard deduction for 2021. Because of that my refund was three times the normal amount. In 2022 tax year the standard deduction will be reduced by about $1,700.
Were you also surprised by your refund too?

Did you or a spouse turn 65 between tax year filing of 2020 and 2021. That would account for your surprise. There are increased standard deductions for seniors incorporated in the recent past. Google IRS publication 501 and you will find the standard deduction tables by filing status and age.

[champion6]

I didn't realize the big change the IRS made to the standard deduction for 2021. Because of that my refund was three times the normal amount. In 2022 tax year the standard deduction will be reduced by about $1,700. Were you also surprised by your refund too?

Did you or a spouse turn 65 between tax year filing of 2020 and 2021. That would account for your surprise. There are increased standard deductions for seniors incorporated in the recent past. Google IRS publication 501 and you will find the standard deduction tables by filing status and age.Lottoguy, maybe rustyp has explained what you see. I'm not sure.

I am sure that your statement about the standatd deduction change in 2022 is wrong. There will actually be a typical increase.
Kiplinger: What's the Standard Deduction for 2021 vs. 2022? (https://www.kiplinger.com/taxes/tax-deductions/602223/standard-deduction)

[Papa_lecki]

That wasn’t the IRS who made that change, it was the previous administration’s change to the tax code.

[Lottoguy]

Yep, $27,800 for tax year 2021. For 2022 it drops by $1,800 a couple over 65.

[frose]

refund??? what he hell is a refund?? if I have to pay less the 10,000 it's exciting.

[mrf0151]

Less, not as much in the way of depreciation on our rental properties. :ohdear:

[rustyp]

Yep, $27,800 for tax year 2021. For 2022 it drops by $1,800 a couple over 65.

Please help we disagree - my research says 2022 goes up to $28700

Plus the original question - did one of you hit 65 as the explanation to the new found windfall

[Garywt]

I have not even thought about taxes yet. I have not used the standard deduction in 40 years. My taxes went up when Trump made changes I lost deductions but still had more than the standard deduction. We will see what this year brings, hoping I have less to pay this year.

[rustyp]

Yep, $27,800 for tax year 2021. For 2022 it drops by $1,800 a couple over 65.

I see what you did - You took the 2021 over 65 rate and subtracted the 2022 under 65 rate. For over 65 there will be an increase of $900 to the married filing joint both over 65 2022 standard deduction. Does this not please you ?

[Viperguy]

That increase in the std. deduction is going away in 25. Sunset clause I believe. Your vote counts

[MDLNB]

I didn't realize the big change the IRS made to the standard deduction for 2021. Because of that my refund was three times the normal amount. In 2022 tax year the standard deduction will be reduced by about $1,700.
Were you also surprised by your refund too?


Nope, we paid hundreds more in taxes this time.

[patfla06]

Refund?? What’s a refund??? :shocked:

[asianthree]

Paying thousands again this year so nope no refund here

[Madelaine Amee]

If you are paying Uncle Sam you have to be making it. So if you had a great year in the market you pay the piper, or in this case Uncle Sam.

[frose]

I don't think there should be anyone paying taxes this year..

[rjn5656]

Haven't even started my taxes yet (lol)

[Madelaine Amee]

I don't think there should be anyone paying taxes this year..

Well I guess I had better talk to my tax accountant and see why I am paying taxes this year.