The Decision That Most NY Taxpayers Get Automatically
For tax year 2026, the federal standard deduction is $16,100 for single filers, $32,200 for married filing jointly, and $24,150 for head of household (IRS Rev. Proc. 2025-32). You itemize only if your qualifying deductions add up to more than your standard deduction. For most people they don't — but for NYC homeowners, they often do.
What Counts as an Itemized Deduction
| Deduction | 2026 Rules |
|---|
| Casualty/theft losses | Federally declared disasters only |
|---|
The SALT Cap Is the Whole Game in NY
New Yorkers pay high state and city income taxes — in NYC, combined SALT can run 10%+ of income — but the federal deduction for those taxes is capped. The cap matters twice:
So in NY, the realistic itemized stack for most filers is: mortgage interest + SALT (capped) + charity.
Example: When Itemizing Wins
Take a $75,000 single NYC filer for 2026:
Itemizing beats the standard deduction by $8,900 of deductions, saving about $1,900 in federal tax. Try it yourself in the calculator's itemized mode (Advanced Options), or open this pre-filled itemized example.
NY State: Separate Rules
Your NY return has its own standard deduction ($8,000 single / $16,050 MFJ for 2026 — unchanged) and its own itemized rules. If you itemize federally you generally itemize in NY, but the NY itemized deduction excludes state and local income taxes (you cannot deduct the NY tax you paid on your NY return). Mortgage interest and charity do carry over.
Quick Decision Rules for 2026
The Bottom Line
The 2026 numbers make the standard deduction the default for most NY filers, and itemizing a clear win for NYC homeowners and generous donors. Run both paths in the calculator, which shows the federal, NY, and NYC effects of each choice side by side.