[{"data":1,"prerenderedAt":58},["ShallowReactive",2],{"term:tax-deduction":3},{"term":4,"related":45},{"id":5,"title":6,"body":7,"category":27,"description":28,"extension":29,"faq":30,"meta":31,"navigation":32,"path":33,"related":34,"seo":38,"stem":39,"takeaways":40,"__hash__":44},"terms\u002Fterms\u002Ftax-deduction.md","Tax Deduction",{"type":8,"value":9,"toc":22},"minimark",[10,15,19],[11,12,14],"h2",{"id":13},"understanding-tax-deduction","Understanding Tax Deduction",[16,17,18],"p",{},"Deductions lower taxable income. In the U.S., taxpayers choose between the standard deduction and itemizing specific deductions, such as mortgage interest and charitable gifts, whichever is larger.",[16,20,21],{},"The value of a deduction depends on your marginal tax rate.",{"title":23,"searchDepth":24,"depth":24,"links":25},"",2,[26],{"id":13,"depth":24,"text":14},"taxes","An amount subtracted from income before tax is calculated.","md",[],{},true,"\u002Fterms\u002Ftax-deduction",[35,36,37],"tax-credit","marginal-tax-rate","standard-deduction",{"title":6,"description":28},"terms\u002Ftax-deduction",[41,42,43],"Deductions reduce taxable income, not tax directly.","You take the standard deduction or itemize, whichever is larger.","Higher marginal rates make deductions more valuable.","n_r-kuDPCt-5gyLFjSS6w5U460juAVKYbWu9NDy67Gs",[46,50,54],{"title":47,"description":48,"path":49},"Marginal Tax Rate","The tax rate paid on your next dollar of income.","\u002Fterms\u002Fmarginal-tax-rate",{"title":51,"description":52,"path":53},"Standard Deduction","A fixed amount U.S. taxpayers can subtract from income without itemizing.","\u002Fterms\u002Fstandard-deduction",{"title":55,"description":56,"path":57},"Tax Credit","An amount subtracted directly from the tax you owe.","\u002Fterms\u002Ftax-credit",1793374006066]