IRC §63 · Rev. Proc. 2025-32 · OBBBA §70101 + §70103 · TY 2025 & 2026
The federal standard deduction by filing status, the IRC §63(f) age 65 and blind add-ons, the IRC §63(c)(5) dependent computation, the OBBBA §70103 $6,000 senior bonus deduction, and the MFS §63(c)(6) coordination rule. Reflects Rev. Proc. 2025-32 (2026) and OBBBA-adjusted figures (2025).
Want to compute your exact 2026 or 2025 standard deduction now, including age and blind add-ons, the dependent computation, and the OBBBA $6,000 senior bonus phase-out? Open the calculator.
Open the Standard Deduction Calculator →For tax year 2026 (Rev. Proc. 2025-32), the federal standard deduction is $16,100 for single filers and married filing separately, $32,200 for married filing jointly and qualifying surviving spouse, and $24,150 for head of household. Taxpayers age 65 or older or blind receive an additional $1,650 per qualifying condition (married filers) or $2,050 per qualifying condition (unmarried filers) under IRC §63(f). The OBBBA §70103 $6,000 senior bonus deduction stacks on top for eligible taxpayers 65 or older with MAGI below the phase-out thresholds, applicable for TY2025-TY2028. For 2025, base amounts are $15,750 / $31,500 / $23,625 with $1,600 / $2,000 add-ons (OBBBA-adjusted per IR-2025-103, replacing pre-OBBBA Rev. Proc. 2024-40).
The federal standard deduction is a fixed amount subtracted from adjusted gross income (AGI) before computing taxable income, available to taxpayers who do not itemize deductions on Schedule A. It is set by statute at IRC §63(c)(2) and adjusted annually for inflation under §63(c)(4)(B) using the chained CPI-U methodology established by the Tax Cuts and Jobs Act (TCJA) of 2017.
The standard deduction was first introduced in 1944 to simplify return preparation. Throughout most of its history, it was a small amount (under $5,000) used by roughly 70 percent of filers; the other 30 percent itemized because their mortgage interest, state taxes, and charitable contributions exceeded the standard deduction. TCJA doubled the standard deduction starting in 2018 and capped key itemized deductions (notably SALT at $10,000), which flipped the usage ratio: today roughly 90 percent of filers take the standard deduction.
OBBBA (P.L. 119-21, signed July 4, 2025) preserved and increased the post-TCJA standard deduction structure. Section 70101 of OBBBA raised the 2025 standard deduction above the pre-OBBBA Rev. Proc. 2024-40 figures ($15,000 single / $30,000 MFJ / $22,500 HOH) to $15,750 / $31,500 / $23,625. Rev. Proc. 2025-32 then applied the first inflation step for tax year 2026, producing $16,100 / $32,200 / $24,150.
The standard deduction is the simpler of two deduction paths. Taxpayers compare it against the sum of allowable itemized deductions on Schedule A and take the larger amount. Itemized deductions include state and local taxes (SALT, capped at $40,000 for 2026 under OBBBA §70203), mortgage interest, charitable contributions, and medical expenses above 7.5 percent of AGI. For taxpayers with substantial mortgage interest or large SALT in high-tax states, itemizing may produce a larger total; for everyone else, the standard deduction wins.
The base standard deduction varies by filing status under IRC §63(c)(2). For 2026, Rev. Proc. 2025-32 §3.18 sets the inflation-adjusted figures. For 2025, OBBBA §70101 raised the figures above the pre-OBBBA Rev. Proc. 2024-40 values, and IR-2025-103 confirmed the post-OBBBA 2025 amounts.
| Filing Status | 2026 (Rev. Proc. 2025-32) | 2025 OBBBA-Adjusted (IR-2025-103) | 2025 Pre-OBBBA (Rev. Proc. 2024-40) | 2024 (Rev. Proc. 2023-34) |
|---|---|---|---|---|
| Single | $16,100 | $15,750 | $15,000 | $14,600 |
| Married Filing Jointly | $32,200 | $31,500 | $30,000 | $29,200 |
| Qualifying Surviving Spouse | $32,200 | $31,500 | $30,000 | $29,200 |
| Married Filing Separately | $16,100 | $15,750 | $15,000 | $14,600 |
| Head of Household | $24,150 | $23,625 | $22,500 | $21,900 |
OBBBA section 70101 (P.L. 119-21, signed July 4, 2025) increased the 2025 standard deduction above the figures set by Rev. Proc. 2024-40 (the pre-OBBBA inflation adjustment published in October 2024). Most taxpayers did not realize the boost was retroactive to tax year 2025 - returns filed in early 2025 used the pre-OBBBA Rev. Proc. 2024-40 figures, and many were amended after the OBBBA enactment in July 2025. The IRS issued IR-2025-103 in late 2025 to confirm the new figures and provide guidance on transition issues.
IRC §63(c)(4)(B) requires the standard deduction to be adjusted annually using the chained CPI-U (C-CPI-U) for the 12-month period ending August 31 of the prior calendar year, applied to the post-TCJA / post-OBBBA base. The C-CPI-U produces smaller annual increases than the traditional CPI-U because it accounts for consumer substitution. The 2026 increase from 2025 OBBBA figures was approximately 2.22 percent (from $15,750 to $16,100 for single) - in line with the C-CPI-U for the August-2024-to-August-2025 measurement window.
IRC §63(f) provides an additional standard deduction for taxpayers who are age 65 or older OR blind. The amount is determined per qualifying condition - so a taxpayer who is both 65 or older AND blind gets two add-ons. On a joint return, each qualifying spouse generates their own set of add-ons.
| Filing Status Group | 2026 (Rev. Proc. 2025-32) | 2025 OBBBA-Adjusted | 2025 Pre-OBBBA | 2024 |
|---|---|---|---|---|
| Unmarried (Single, HOH) | $2,050 | $2,000 | $1,950 | $1,950 |
| Married (MFJ, MFS, QSS) - per qualifying spouse | $1,650 | $1,600 | $1,550 | $1,550 |
The age 65 and blind add-ons are independent qualifying conditions. The add-on applies once for each condition met, per taxpayer (and per spouse on a joint return). Examples:
Age is determined as of the last day of the tax year (December 31). Under IRC §63(f)(2)(B), a taxpayer who attains age 65 on the first day of the year following the tax year is treated as having attained age 65 on the last day of the tax year. In practical terms, a taxpayer born on January 1, 1962 is treated as 65 for tax year 2026 (they would actually turn 65 on January 1, 2027). This "January 1 = age 65 for the prior year" rule is the only exception to the December 31 rule.
IRC §63(f)(4) defines blindness for federal tax purposes as:
A taxpayer must obtain a certified statement from an eye doctor on or before the date the return is filed. The certification is retained by the taxpayer (not attached to the return) and may be requested by the IRS on audit. A taxpayer whose vision will not improve beyond the §63(f)(4) thresholds can obtain a single certification that applies for all future years.
The §63(f) age and blind add-ons apply ONLY when the taxpayer takes the standard deduction. Itemizers do not receive the §63(f) add-on. This is a key distinction from the OBBBA §70103 $6,000 senior bonus, which applies to BOTH standard deduction takers and itemizers.
An individual who can be claimed as a dependent on another taxpayer's return is subject to a different (smaller) standard deduction under IRC §63(c)(5). The dependent's standard deduction is the GREATER of:
The greater amount is then capped at the regular standard deduction for the dependent's filing status (almost always $16,100 single for 2026, $15,750 for 2025). Age 65 and blind add-ons under §63(f) still apply on top of the dependent floor.
Earned income for §63(c)(5) purposes includes wages, salaries, tips, professional fees, self-employment income, and other amounts received for services rendered. It does NOT include interest, dividends, capital gains, rental income, royalty income, scholarships used for non-tuition expenses, or unemployment compensation. The income/deduction definitions follow the kiddie-tax rules under IRC §1(g).
The dependent rules are in IRC §152. Two types qualify: qualifying child (under age 19, or under 24 if a full-time student, or any age if disabled, who lives with the taxpayer more than half the year and does not provide more than half their own support) and qualifying relative (gross income test of $5,200 for 2025, expected near $5,350 for 2026 per Rev. Proc. 2025-32 §3.23, plus support and relationship tests). A taxpayer who can be claimed as a dependent must use the §63(c)(5) floor even if they are not actually claimed - the test is whether the dependency criteria are met, not whether the parent chooses to claim them.
A college student aged 21 who earns $4,000 in wages and lives with parents who provide more than half support cannot defeat the dependent rule by having the parent decline the exemption. The standard deduction is capped at max($1,350, $4,000 + $450) = $4,450 regardless of whether the parent claims them. The student also cannot claim the personal exemption (which is zero post-TCJA and post-OBBBA). The parent's option is whether to use the Child Tax Credit / Other Dependents Credit on the student - that election affects the parent's return but does not change the student's standard deduction.
OBBBA section 70103 (P.L. 119-21, signed July 4, 2025) created a new above-the-line deduction of $6,000 per eligible person age 65 or older, applicable for tax years 2025 through 2028. The OBBBA $6,000 senior bonus stacks on top of either the standard deduction OR itemized deductions - it operates as a separate above-the-line benefit, not as an addition to the standard deduction structure.
The $6,000 per-person bonus is reduced by $60 for every $1,000 of MAGI above the threshold:
The phase-out applies per eligible person, using the filer's (or joint return's) MAGI. On a joint return where both spouses are 65 or older, each spouse's $6,000 phases out independently using the joint MAGI - so both reach $0 simultaneously at $250,000 MAGI.
| MAGI | Excess Over $75,000 | Reduction ($60 per $1,000) | Senior Bonus |
|---|---|---|---|
| $50,000 | $0 | $0 | $6,000 |
| $75,000 | $0 | $0 | $6,000 |
| $95,000 | $20,000 | $1,200 | $4,800 |
| $125,000 | $50,000 | $3,000 | $3,000 |
| $150,000 | $75,000 | $4,500 | $1,500 |
| $175,000+ | $100,000+ | $6,000+ | $0 |
This is the most underappreciated feature of §70103. The bonus applies regardless of whether the taxpayer takes the standard deduction or itemizes on Schedule A. A senior in a high-tax state with substantial mortgage interest who itemizes their full $40,000 SALT plus mortgage interest still gets the $6,000 senior bonus on top, as long as they are 65 or older and below the MAGI phase-out. The §63(f) age and blind add-ons, by contrast, ONLY apply to standard deduction takers.
The $6,000 OBBBA senior bonus is claimed on Schedule 1-A (Additional Deductions), filed alongside Form 1040. Schedule 1-A is the OBBBA filing-mechanics form, also used for the OBBBA tip deduction (§224), overtime deduction (§225), and auto loan interest deduction (§163(h)(4)). The total from Schedule 1-A flows to Form 1040 line 13a or similar (final placement TBD on the 2025 / 2026 Form 1040). The standard deduction or itemized total continues to flow to Form 1040 line 12.
IRC §63(c)(6)(A) imposes a critical coordination rule for married filing separately (MFS) returns: if one spouse itemizes deductions on Schedule A, the other spouse's standard deduction is reduced to zero. This is the "all-or-nothing" MFS rule. Both spouses must agree to the same election - both standard, or both itemize.
The rule is administered at the IRS by matching the two MFS returns of married spouses. If spouse A files MFS-itemize and spouse B files MFS-standard, the IRS will issue a CP-2000 notice to spouse B disallowing the standard deduction. Spouse B then has three options: (a) accept zero deduction and pay the underpayment plus interest; (b) itemize their own share of common deductions on an amended return; or (c) negotiate with spouse A to take the standard deduction (which usually requires spouse A to also amend their return).
Separating spouses who file MFS for the first year often do not communicate about their election. Spouse A, who paid the marital home's mortgage and SALT, naturally itemizes because they have $25,000+ of mortgage interest plus $10,000+ of SALT. Spouse B has no major itemizable expenses and defaults to the standard deduction. The result: spouse B gets a CP-2000 notice in 18 months and a tax bill. The trap is well known to family-law attorneys, who typically negotiate the MFS election as part of separation agreements.
Spouses who live apart for the last six months of the tax year and maintain a household for a qualifying child can file as head of household even while still legally married, under IRC §7703(b). HOH status uses the §7703(b) abandoned-spouse rules and is not subject to the §63(c)(6)(A) MFS coordination rule. The HOH filer takes the HOH standard deduction ($24,150 for 2026) regardless of the absent spouse's deduction choice.
The standard deduction is automatic for any taxpayer who chooses not to itemize. Itemizing requires Schedule A and detailed records of qualifying expenses. The rule is simple: take the LARGER of (a) the standard deduction plus §63(f) add-ons, OR (b) the itemized total from Schedule A.
Itemizing tends to produce a larger deduction when the sum of allowable Schedule A items exceeds the standard deduction. Typical winning profiles:
Taxpayers near the standard deduction threshold can sometimes "bunch" charitable contributions and medical expenses into a single tax year to itemize that year, then take the standard deduction the next year. A common implementation: donate 2 years of intended charitable giving in December of an odd-numbered year via a donor-advised fund, itemize the odd year, take the standard deduction the even year. Over the two-year cycle, the taxpayer captures more deduction than they would by averaging out the contributions evenly.
Run the Itemize vs Standard Deduction Calculator to compare your specific numbers side-by-side.
The standard deduction is reported on Form 1040 line 12. The line 12 area contains four check boxes that trigger the §63(f) age and blind add-ons:
Each checked box adds one age-or-blind add-on to the standard deduction. For 2026, that is $2,050 per box for unmarried filers (Single, HOH) and $1,650 per box for married filers (MFJ, MFS, QSS). The Form 1040 instructions include a Standard Deduction Chart for People Who Were Born Before January 2, 1962, or Were Blind that walks through the per-check-box math without the user having to compute it from the underlying statute.
If the taxpayer can be claimed as a dependent on another return, the Form 1040 instructions include a Standard Deduction Worksheet for Dependents that walks through the §63(c)(5) computation: enter earned income, add $450, compare to $1,350, take the greater, cap at the regular standard deduction. Age and blind add-ons are added on top using the same check-box mechanism.
The OBBBA §70103 $6,000 senior bonus is NOT reported on Form 1040 line 12. It is claimed on Schedule 1-A (Additional Deductions), which is filed alongside Form 1040 starting with tax year 2025. Schedule 1-A is the OBBBA filing-mechanics form that handles all four new OBBBA deductions: §224 tips, §225 overtime, §163(h)(4) auto loan interest, and §70103 senior bonus. The Schedule 1-A total flows to Form 1040 line 13a or similar (placement may change between 2025 and 2026 forms).
MFS filers face the §63(c)(6)(A) coordination rule. There is no formal election form to coordinate with the spouse - both spouses simply make their own choice on their own return. The IRS performs the matching automatically after both returns are filed. A CP-2000 notice issued months after filing usually indicates the MFS spouses made conflicting elections.
The most common dependent-standard-deduction error we see at LMN Tax Inc. is the college student who files their own return claiming the full single standard deduction ($16,100 for 2026) when their parents claim them as a dependent. The student's correct deduction under §63(c)(5) is the greater of $1,350 or earned income plus $450, capped at $16,100. A student earning $4,000 in summer wages has a $4,450 standard deduction, not $16,100. When the parent files claiming the dependency exemption, the IRS matching system flags the discrepancy and issues CP-2000 notices to both parties. The student ends up owing back the over-deducted amount plus interest, and the family loses what they expected to save. We catch this on intake by asking every taxpayer under 24 whether anyone else can claim them, regardless of whether they actually were claimed.
The second common issue is the MAGI proximity to the OBBBA $75,000 / $150,000 phase-out thresholds. A single client at $76,000 MAGI is $1,000 over and loses $60 of the $6,000 bonus. Strategies to bring MAGI below the threshold: max out 401(k) contributions, contribute to a traditional IRA if eligible, fund an HSA if HDHP-covered, take qualified charitable distributions from an IRA if 70.5 or older. Each $1,000 of MAGI reduction preserves $60 of the OBBBA bonus. At a 22% marginal rate, the $60 preserved deduction is worth $13.20 of federal tax. Multiply that across the gap from $76,000 to $75,000 and the savings are modest individually but meaningful in aggregate over four years (TY2025-TY2028).
The third issue is the MFS §63(c)(6) coordination rule with separating spouses. When a couple separates mid-year and files MFS, we strongly recommend the separating spouses retain a single tax preparer for the year of separation OR otherwise coordinate elections explicitly. The all-or-nothing rule means that a misaligned election will cost one spouse the entire standard deduction. The fix is usually to negotiate a side payment between spouses to compensate the spouse who agrees to use the less-beneficial election. Family law attorneys handle this routinely.
The fourth issue is the qualifying surviving spouse (QSS) status. A surviving spouse can use the MFJ standard deduction ($32,200 for 2026) for two tax years after the year of death, provided they maintain a household for a qualifying child. Clients frequently switch to HOH or Single status prematurely in the year after the death, leaving thousands of dollars of standard deduction on the table. We track surviving-spouse client status for the full two-year window and verify QSS qualification each year. The HOH amount ($24,150) is $8,050 less than QSS for 2026 - at a 22% rate, that is $1,771 of tax difference per year.
The same tax year (2026) produces very different standard deduction outcomes depending on filing status, age, blindness, dependency status, and MAGI for the OBBBA senior bonus. Five family profiles:
Sara is single, age 30, earns $65,000 in wages. No one can claim her as a dependent. She rents her apartment, has no mortgage interest, and pays $4,500 in state income tax. 2026 standard deduction: $16,100 (base, Single). No age or blind add-on. No OBBBA bonus (not 65+). Itemizing would yield only $4,500 in SALT plus $0 mortgage interest = $4,500, far below the standard. Sara takes the $16,100 standard deduction.
Carlos and Maria, both age 45, file MFJ. Combined earned income $220,000, two kids. They own a home in New Jersey with $28,000 of mortgage interest and pay $32,000 in state income tax plus $9,000 in property tax. 2026 standard deduction: $32,200 base (MFJ). No age or blind add-ons. No OBBBA bonus. Itemized: $28,000 mortgage interest + $40,000 SALT (capped at $40,000 under OBBBA §70203, with their $41,000 SALT capped) = $68,000. Carlos and Maria itemize - the itemized total of $68,000 substantially exceeds the $32,200 standard deduction.
Margaret is single, age 72, MAGI of $58,000 (Social Security partially taxable plus pension and IRA RMDs). She has no mortgage. 2026 standard deduction: $16,100 base + $2,050 age 65 add-on (Single) = $18,150. Plus OBBBA §70103 $6,000 senior bonus (MAGI below $75,000 threshold). Total deduction = $24,150. Itemizing would yield approximately $3,000 in SALT (her state taxes) plus zero mortgage = $3,000. Margaret takes the standard deduction. The OBBBA $6,000 bonus is worth approximately $720 at her 12% marginal rate.
Robert and Linda, both age 67, file MFJ. Combined MAGI $185,000 (large IRA RMDs plus pensions plus Social Security). They own a home in Texas with $8,000 of mortgage interest and pay $14,000 in property tax (no state income tax). 2026 standard deduction: $32,200 base + (2 × $1,650 age add-ons) = $35,500. Plus OBBBA $6,000 bonus per spouse, phase-out check: MAGI $185,000 vs $150,000 MFJ threshold = $35,000 excess. Reduction per spouse = 35 × $60 = $2,100. Per-spouse bonus = $6,000 - $2,100 = $3,900. Total OBBBA = 2 × $3,900 = $7,800. Total deduction = $35,500 + $7,800 = $43,300. Itemizing yields $8,000 mortgage + $14,000 SALT = $22,000 - far below standard. Robert and Linda take the standard deduction.
Jason is age 19, a full-time college student, and his parents claim him as a dependent. He earned $6,500 in part-time wages and $200 in interest from a savings account. 2026 standard deduction under §63(c)(5): max($1,350, $6,500 + $450) = $6,950, capped at $16,100 (single regular) - not binding. Jason's standard deduction is $6,950. His $200 of interest may trigger kiddie tax under §1(g) but does not change his standard deduction (interest is not earned income). Jason's parents continue to claim him and receive the Credit for Other Dependents ($500 nonrefundable) since Jason exceeds the age 17 Child Tax Credit cutoff.
Ready to compute your 2026 or 2025 standard deduction? Run the inputs through the calculator to see the base amount, age and blind add-ons, dependent computation, and OBBBA senior bonus side-by-side.
Open the Standard Deduction Calculator →If you are not a dependent, are not subject to the §63(c)(6) MFS itemize-spouse rule, and your itemized deductions are below your standard deduction plus §63(f) add-ons, take the standard deduction. This is approximately 90 percent of all filers post-TCJA. Use the Standard Deduction Calculator to compute the exact amount.
If your itemized deductions (SALT + mortgage interest + charitable + medical above 7.5% of AGI) exceed your standard deduction plus §63(f) add-ons, itemize on Schedule A. Common winning profile: homeowner in high-tax state with $20K+ mortgage interest and SALT at or near the $40K cap. Run the Itemize vs Standard Deduction Calculator to compare directly.
If you are 65 or older, your standard deduction includes the §63(f) age add-on AND the OBBBA $6,000 senior bonus (if MAGI below threshold). The senior bonus is independent of itemizing - you get it either way. If your MAGI is within $10,000 of the $75K (single/HOH) or $150K (MFJ) phase-out start, consider MAGI-reducing strategies before year-end. See the Senior Standard Deduction Calculator for the full senior bonus breakdown.
If you can be claimed as a dependent, use the §63(c)(5) computation: max($1,350, earned income + $450), capped at the regular standard deduction. If you file MFS, confirm your spouse's election before deciding - the §63(c)(6)(A) coordination rule zeros out your standard deduction if your spouse itemizes. Both MFS spouses must make the same choice.