1. 10/24/2015NJ Training TY 20081 Standard Deductions & Exemptions Schedule A Pub 17 Chapter 20 Pub 4012 Tab F and Tab 4 Module NJ 1.19

2. 10/24/2015 NJ Training TY 20082 Deductions AGI minus deductions & exemptions equals taxable income TP takes either Standard Deduction or Itemized Deductions on Schedule A Additional Standard Deduction Allowance if over 65 or blind Refer to Pub 4012 Tab F to determine allowable standard deduction. Tax Wise does this automatically

3. 10/24/2015 NJ Training TY 20083 Exceptions To Deductions Married Filing Separately Spouse has itemized – TP must itemize Spouse took Standard – TP must take Std Non-Resident Alien MUST itemize.

4. 10/24/2015 NJ Training TY 20084 Exemptions Personal exemption amount of $3,650 times the number in Form 1040 Box 6d The total exemption is automatically calculated by TaxWise

5. IN ADDITION TO STANDARD DEDUCTION Taxes paid on NEW vehicle purchased after Feb. 16, 2009 Enter data on Sales Tax worksheet – will flow to Sch A Pg 2 and then to Sch L Real estate taxes paid by non-itemizers (up to $500 ($1,000 MfJ)) Full amount should be entered on Sch A – proper amount will flow to Sch L Schedule L is filled out automatically (from above) and computes “Standard Deduction”