Nashville, TN – Many older residents in Tennessee may not realize they could qualify for an extra standard deduction on their state taxes once they reach the age of 65. This benefit can reduce taxable income, potentially lowering or even eliminating state tax liability for eligible seniors.
Understanding the Extra Deduction
Tennessee offers an additional standard deduction to qualifying seniors, designed to provide relief for older taxpayers living on fixed or limited incomes. The amount of the deduction can vary based on filing status, income level, and other factors.
According to the Tennessee Department of Revenue, this extra deduction is available on top of the regular standard deduction most taxpayers receive, meaning eligible seniors can shield more of their income from taxes.
Eligibility Requirements
To claim the extra deduction, you generally must:
- Be 65 years of age or older by the end of the tax year.
- Meet Tennessee residency requirements.
- Have income under certain thresholds set by the state each year.
Seniors who are married and filing jointly may be able to double the deduction if both spouses meet the age requirement.
How to Claim the Deduction
Claiming the Tennessee senior deduction is relatively straightforward. It typically involves checking the applicable box and completing the correct section of your state income tax return. Documentation proving age, such as a driver’s license or birth certificate, may be required in case of an audit.
For those filing online, tax software often prompts for age-related credits and deductions, ensuring the benefit is applied if you qualify.
Why It Matters for Seniors
The extra deduction can make a significant difference, especially for retirees living on Social Security, pensions, or limited investment income. Lower taxable income can also affect eligibility for other programs, such as state assistance for medical or utility costs.
“Every dollar counts when you’re retired, and this deduction is one of the simplest ways for Tennessee seniors to reduce their tax bill,” said a Nashville-based tax preparer.
Have you or someone you know taken advantage of this deduction? Share your experiences in the comments below.
