2026 List of Itemized Deductions (Complete Guide)

Itemized deductions allow taxpayers to subtract certain eligible expenses from their adjusted gross income instead of taking the standard deduction.

If the total of your itemized deductions exceeds the standard deduction for your filing status, itemizing may reduce your taxable income and lower your tax bill.

Below is a complete list of the most common itemized deductions available for the 2026 tax year.

What Are Itemized Deductions?

Itemized deductions are specific expenses that the IRS allows you to subtract from your income when filing your tax return. These deductions are reported on Schedule A of Form 1040.

Instead of using the standard deduction, you list each eligible expense individually.

Itemizing is often beneficial if you have large deductible expenses during the year.

Medical and Dental Expense Deduction

You can deduct qualified medical and dental expenses that exceed 7.5% of your adjusted gross income.

Eligible expenses may include:

• Doctor visits

• Hospital care

• Prescription medications

• Dental treatment

• Vision care

• Medical equipment

• Health insurance premiums

• Medicare premiums

These expenses must be primarily for medical care and not reimbursed by insurance.

Example:
If your adjusted gross income is $60,000, the first $4,500 of medical expenses (7.5%) is not deductible. If your total medical expenses are $9,500, you may deduct $5,000.

State and Local Tax Deduction (SALT)

Taxpayers may deduct certain state and local taxes paid during the year.

These include:

• State income taxes

• Local income taxes

• Property taxes

• State or local sales taxes (if elected instead of income taxes)

The total SALT deduction is limited to $10,000 per tax return.

Home Mortgage Interest Deduction

Mortgage interest may be deductible on qualified home loans used to buy, build, or improve a primary or secondary residence.

Eligible interest includes:

• Mortgage interest on primary residence

• Mortgage interest on a second home

• Points paid on certain home loans

Mortgage interest deductions apply only to loans within IRS limits.

Charitable Contribution Deduction

Donations made to qualified charitable organizations may be deductible if you itemize.

Eligible contributions include:

• Cash donations

• Credit card donations

• Donated goods

• Appreciated securities

• Certain mileage or travel expenses for charitable work

The IRS may require documentation depending on the donation amount.

Example:
If you donate $2,000 to qualified charities during the year, that amount may be deducted from your income if you itemize.

Casualty and Theft Losses

Casualty losses may be deductible if they occur in federally declared disaster areas.

Eligible losses may include:

• Storm damage

• Fire damage

• Flood damage

• Theft losses tied to disaster events

These deductions apply only to qualified disaster situations under current tax law.

Gambling Loss Deduction

If you report gambling winnings as income, you may deduct gambling losses up to the amount of winnings.

Eligible losses include:

• Casino losses

• Sports betting losses

• Lottery losses

Documentation, such as wagering records, is required.

Investment Interest Deduction

Interest paid on money borrowed to purchase investments may be deductible.

Examples include:

• Margin loan interest

• Interest on loans used to purchase taxable investments

This deduction generally applies only to investment income.

When Itemizing Makes Sense

You should consider itemizing if your total deductions exceed the standard deduction for your filing status.

Itemizing often benefits taxpayers with:

• High medical expenses

• Large mortgage interest payments

• Significant charitable donations

• High property taxes

Tax software typically calculates both the standard deduction and itemized deductions and applies whichever is larger.

💻 Electronic Filing Recommendation

E-filing your return is recommended because it:

• Automatically calculates itemized deduction totals

• Applies limits such as the SALT cap

• Compares itemized deductions with the standard deduction

• Reduces math errors

• Speeds up refund processing

Tax software ensures all eligible deductions are properly applied to Schedule A.

Final Thoughts

Itemized deductions can significantly reduce taxable income for taxpayers with large deductible expenses.

Medical costs, mortgage interest, charitable donations, and state and local taxes are among the most common deductions.

Before filing, it’s important to compare your itemized deductions with the standard deduction to determine which option provides the greater tax benefit.